Question
Payday loans are very short-term loans that charge very high interest rates. You can borrow $400 today and repay $484 in two weeks. What is
Payday loans are very short-term loans that charge very high interest rates. You can borrow $400 today and repay $484 in two weeks. What is the compounded annual rate implied by this 21 percent rate charged for only two weeks?
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Applied Quantitative Finance
Authors: Härdle
3rd Edition
3662544857, 978-3662544853
