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Teach the concept of ey taking care

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We know that Effective Yield (EY) and Effective Rate (ER) are the same calculation, with EY being from the lender's perspective and ER being from the borrower's perspective. Teach the concept of EY taking care to explain why EY decreases as the time to payoff of debt decreases. Teach me the concept(s).

Reference no: EM132459207

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