What is the effective annual return friendly earns

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Reference no: EM131565949

Friendly’s Quick Loans, Inc., offers you “$4.30 for $5.30 or I knock on your door.” This means you get $4.30 today and repay $5.30 when you get your paycheck in one week (or else).

If you were brave enough to ask, what APR would Friendly’s say you were paying?

What’s the effective annual return Friendly’s earns on this lending business?

Reference no: EM131565949

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