Friendly's Quick Loans, Inc., offers you five for four, or I knock on your door. This means

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Friendly's Quick Loans, Inc., offers you "five for four, or I knock on your door." This means you get $4 today and repay $5 when you get your paycheck in one week (or else). What's the effective annual return Friendly's earns on this lending business? If you were brave enough to ask, what APR would Friendly's say you were paying?

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Essentials Of Corporate Finance

ISBN: 9780073405131

6th Edition

Authors: Stephen A. Ross, Randolph Westerfield, Bradford D. Jordan

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