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CTP · Question #678
CTP Question #678: Real Exam Question with Answer & Explanation
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Question
- (Topic 7) A company issues $5 million of commercial paper at a discount for 60 days. The interest cost is $85,000. The backup line fee for this transaction is $2,000, and the dealer fee is $1,000. What is the annual interest rate?
Options
- A10.56%
- B10.71%
- C10.74%
- D10.89%
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