Question: A payday loan store charges $20 for a one-month loan of $400. What annual interest rate is this equivalent to? Use the formula I=Prt to

A payday loan store charges $20 for a one-month loan of $400. What annual interest rate is this equivalent to? Use the formula I=Prt to solve for r. I is interest charged, P is amount of the loan, r is the annual interest rate as a decimal, and t is time in years

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