Which will have a higher effective interest rate - a payday loan for $1900 that is due in 14 days with a fee of $80, or a payday loan for $1900 that is due in 12 days with a fee of $80?

A. A payday loan for $1900 that is due in 12 days with a fee of $80, since it has the longer period

B. A payday loan for $1900 that is due in 14 days with a fee of $80, since it has the shorter period

C. A payday loan for $1900 that is due in 14 days with a fee of $80, since it has the longer period

D. A payday loan for $1900 that is due in 12 days with a fee of $80, since it has the shorter period

Question

Lisa

21 September, 08:52

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Answers (1)

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Cindy Farley · Answer 1

A payday loan for $1900 that is due in 12 days with a fee of $80, since it has the shorter period