Long term government bond yields

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Bill Bulge owned a grocery store in Missouri. In order to finance some inventory, he borrowed $3000 from Big Bucks Bank. The written agreement called for 20% interest to be paid at a time when long term government bond yields were 12%. At maturity, Bill refused to pay anything because he said the bank was guilty of usury. Will Bill have to pay anything?

Reference no: EM131245477

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