The Big Bank would like to charge, effectively, 20% on the credit card debt of its customers. If the bank uses continuous compounding in calculating the interest charges on its cards, what nominal rate should the Big Bank be advertising?

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The Answer of The Big Bank would like to charge, effectively, 20% on the credit card debt of its customers. If the bank uses continuous compounding in calculating the interest charges on its cards, what nominal rate should the Big Bank be advertising?

The Big Bank Would Like to Charge, Effectively, 20% on the Credit