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use the tables of compound interest to look up the value of the factors. Do not...

use the tables of compound interest to look up the value of the factors. Do not use the interest formulas.

A student borrowed $10,000 from a bank. He must pay $400 at the end of each month for the next 30 months.

  1. What is the monthly interest rate he is paying?
  2. What is the effective annual interest rate he is paying?
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