The Bensington Glass Company

The Bensington Glass Company entered into a loan agreement with the​ firm’s bank to finance the​ firm’s working capital. The loan called for a floating rate that was 26 basis points ​(0.26 ​percent) over an index based on LIBOR. In​ addition, the loan adjusted weekly based on the closing value of the index for the previous week and had a maximum annual rate of 2.23 percent and a minimum of 1.74 percent. Calculate the rate of interest for weeks 2 through 10.   

Date             LIBOR  

Week 1       1.92%

Week 2       1.67%

Week 3        1.49%

Week 4        1.31%

Week 5        1.58%

Week 6        1.59%

Week 7        1.66%

 Week 8       1.93%

 Week 9       1.95%

Calculate the rate of interest for weeks 2-10 (Round to two decimal​ places.)

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