What is the 10-day interest rate implied by the loan what


Jack borrows $80 from a payday lender. After ten days, Jack must repay $111.20, which includes a “fee”. Assume 360 days per year

a. What is the 10-day interest rate implied by the loan?

b. What is the implied APR?

c. What is the implied EAR?

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Financial Management: What is the 10-day interest rate implied by the loan what
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