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Friendlys Quick Loans, Inc., offers you three for four or I knock on your door. This means you get $3 today and repay $4 when
| Friendlys 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 paycheck in one week (or else). Whats the effective annual return Friendlys earns on this lending business? If you were brave enough to ask, what APR would Friendlys say you were paying? | ||||
| Input area: | ||||
| Present value | $3 | |||
| Future value | $4 | |||
| Weeks per year | 52 | |||
| (Use cells A6 to B8 from the given information to complete this question.) | ||||
| Solve Using Excel | ||||
| Interest rate per week | ||||
| APR | ||||
| EAR | ||||
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