Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bergheims Quick Loans Inc. offers you three for four or I knock on your door. This means you get $3 today and repay $4 when

Bergheims Quick Loans Inc. offers you three for four or I knock on your door. This means you get $3 today and repay $4 when you get your pay cheque in one week (or else). (Do not round intermediate calculations. Round the final answers to 2 decimal places.)

If you were brave enough to ask, what is the weekly compounded APR Bergheims would say you were paying?

Weekly compounded APR %

Whats the effective annual return Bergheims earns on this lending business?

EAR %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Money Locates You

Authors: Joan Ekobena

1st Edition

1774821257, 978-1774821251

More Books

Students also viewed these Finance questions