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A payday loan is a small, short-term loan to a borrower, offered with the idea that it is paid back quickly within the next pay
A payday loan is a small, short-term loan to a borrower, offered with the idea that it is paid back quickly within the next pay period or so. Pay-Later Loans will provide a loan of $180, to be paid back in 40 days with a fee of $32. (The fee is equivalent to an interest charge). What is the annual rate of interest for this loan? (Assume simple interest with a 360 day year.)
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