What are the effective annual ratescharged by the two banks

Reference no: EM13286561

First USA Bank offers to lend you $10,000 at an APR of 6%, with interest paid monthly. Bank of Delaware offers to lend you the $10,000, but it will charge 7% APR, with interest paid at the end of the year. What are the effective annual rates (EAR) charged by the two banks?

Reference no: EM13286561

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