Question: Friendlys Quick Loans, Inc., offers you Five for four, or I knock on your door. This means you get $4 today and repay $5 when

Friendlys 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). 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?

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