50 points please help me, below is the case study and question, will name brainliest Pharmaceutical companies develop, produce and sell medication. Medications can take many years to develop before they can be sold. This process involves testing and trialling medications before they can be judged as being safe for use. SANEC is a UK pharmaceutical company, whose customers include the National Health Service (NHS) and private hospitals. SANEC has a loan of £2 million with a bank that it is required to pay back in one year. The annual interest rate is 5% on the whole amount. This is just one way in which SANEC uses the financial services sector. The UK financial services sector plays a critical role in supporting UK businesses and enabling the UK’s economy to grow. It is responsible for almost 10% of national output, adds nearly £150 billion to the UK economy and employs around 1.2 million people. The UK is the world’s largest exporter of financial services.

(b) Calculate the increase in the annual amount of interest paid by SANEC if the bank were to increase the rate of interest on the loan to 6% per year. You must show your working.

Divide the gross interest rate by the number of times a year that interest is paid and add one.

Raise the result to the number of times a year that interest is paid.

Subtract one from the subsequent result.

The AER is the actual interest rate that an investor will earn for an investment, a loan, or another product based on compounding. The AER reveals to investors what they can expect to return from an investment, meaning the actual return of the investment based on compounding, which is more than the stated or nominal interest rate.

Assuming interest is calculated (or compounded) more than once a year, the AER will be higher than the stated interest rate. The more compounding periods.

What Is the Annual Equivalent Rate (AER)?

The AER is the interest rate for a savings account or investment product that has more than one compounding period. That is, it's calculated under the assumption that any interest paid is included in the principal payment's balance and the next interest payment will be based on the slightly higher account balance.

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Explanation

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"we first find value of tax in dollars.

the difference between the two prices   is: 23. 54 - 22 = 1.54

therefore the sales tax in dollars is 1.54

the tax % will be   (amount of tax / original cost price ) × 100

(1.54 / 22) × 100  → (0.07) × 100 =   7

so the tax rate is 7%

we can double check the answer.

7 % of 22   → (7/100) × 22 → 0.07 × 22 = 1.54

22 + 1.54 = 23.54"