College Financial Sources, which makes small loans to college students, offers to lend $500. The borrower is required to pay $40 at the end of each week for 16 weeks. (Compounding Period: Week) a) Find the interest rate per week. b) What is the nominal interest rate per year? c) What is the effective interest rate per year?
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College Financial Sources, which makes small loans to college students, offers to lend $500. The borrower is required to pay $40 at the end of each week for 16 weeks. (Compounding Period: Week)
a) Find the interest rate per week.
b) What is the nominal interest rate per year?
c) What is the effective interest rate per year?
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