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1954 AMC 12 Question 33

AMC12 · 1954 AMC 12

Question 33

A bank charges $\$6$ for a loan of $\$120.$ The borrower receives $\$114$ and repays the loan in $12$ installments of $\$10$ a month. The interest rate is approximately:
  1. $5\%$
  2. $6\%$
  3. $7\%$
  4. $9\%$
  5. $15\%$