State the equivalent amortization rate compounded quarterly

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Reference no: EM131342560

A company borrows $75,000 for 5 years. The company makes quarterly interest payments to the lender of $2,250. (12% simple interest). The company makes quarterly deposits of $3,324.03 to a sinking fund which earns 5% compounded quarterly. State the equivalent amortization rate compounded quarterly for this loan in the form xx.xx% using standard rules of rounding.

Reference no: EM131342560

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