Look at the focus on ethics box ldquohow fair is check into, Financial Management

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Look at the focus on ethics box ldquohow fair is check into

Look at the Focus on Ethics box (“How Fair Is Check Into Cash”) in Chapter 5 of the textbook. These, businesses quote an interest rate of 15% to loan customers (most of whom are fairly unsophisticated) and yet the EAR of the loan is close to 400%. Explain the wide discrepancy between these rates. What do you believe is the correct regulatory response to these types of lenders?

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Financial Management: Look at the focus on ethics box ldquohow fair is check into

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