Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Kinda getting different answers here, can u help? thank u for ur time Friendly's Quick Loans, Inc., offers you $5.00 today but you must repay
Kinda getting different answers here, can u help? thank u for ur time
Friendly's Quick Loans, Inc., offers you $5.00 today but you must repay $6.45 when you get your paycheck in one week or else). a. What is the effective annual return Friendly's earns on this lending business? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. If you were brave enough to ask, what APR would Friendly's say you were paying? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) a. Effective annual return b. Annual percentage rateStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started