Determination of apr and apy

Assignment Help Finance Basics

Reference no: EM1352830

A bank loan agreement calls for an interest rate equal to prime rate plus 1%. If prime rate averages 9% and non-interest-earning compensating balances equal to 10% of the loan must be maintained, what are the APR and the APY of the loan assuming annual payments?

With the information given, How do I find the APR and APY?

It seems that there is not enough information to find the APR and APY.

Reference no: EM1352830

Questions Cloud

Determine the economic order per quantity : Knoxville Accountants LLP consumes 100,000 packets of plain copier paper yearly. The usage is roughly steady throughout the year. The carrying expenses of this inventory is $2.00 per unit average inventory per year.

Articles on dialectical behavior therapy : I need articles on dialectical behavior therapy: 1. At least five quantitative research articles 2. At least five qualitative research articles

Estimate benefit of a revenue-generating system : Is management able to estimate the benefit of a revenue-generating system or must the system be built on faith? Why?

Evaluating performance : Annual report information available on the company's website compute the ROE for each company - Evaluating Performance

Determination of apr and apy : A bank loan contract calls for an interest rate equal to prime rate plus 1%. If prime rate averages 9% and non-interest-earning compensating balances equal to 10 percent.

Cultures allow ego centric reasoning : Do the values of all cultures allow ego centric reasoning ("what is good for me") or allow one to be more concerned about the good of the community above the good of the individual?

Calculate the yearly expenses and gross sales : Deer Valley Lodge, a ski resort in Wasatch Mountains of Utah, has plans to eventually add 5 new chairlifts. Assume that one lift costs $2 million, and preparing the slope and installing the lift costs another $1.3 million.

Analyzing the personality development : Analyze the personality development of one of the theorists studied in this course from three different theoretical perspectives.

Specify the foreign keys for schema : First, specify the foreign keys for this schema, stating any assumptions you make. Next, populate the relations with a few example tuples.

User Account

All Pages