(Answered) Calculating earlast national bank charges 625 percent

Finance

Calculating EAR

Last National Bank charges 6.25 percent compounded monthly on its business loans. First Diversified Bank charges 6.30 percent compounded semiannually. As a potential borrower, which bank would you go to for a new loan?

Effective rate of 6.25 percent compounded monthly: ____________%

Effective rate of 6.30 percent compounded semiannually: _____________%

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