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Calculate the bank loan-pricing for this firm

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The large firm is well known nationally, has sold commercial paper on occasion, and wants a floating-rate loan. A bank's base rate is 3.00 percent. Adjustment for default risk for this firm is 2.0 percent. Competitive risk factor adjustment is 0 percent. Term -to-maturity adjustment 0. Given this information, calculate the bank's loan-pricing for this firm.

Reference no: EM133239548

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