A consumer is offered a loan of $400 for a term of 60 days. The advertised Annual Percentage Rate (APR) for this loan is 120%. To determine the total cost, the consumer needs to calculate the finance charge. Based on the standard APR calculation method, the total finance charge for this loan would be $____. (Round your answer to two decimal places).
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A consumer takes out a short-term loan for $500. The total finance charge for the loan is $45, and the loan must be repaid in 30 days. Using the standard method for calculating the Annual Percentage Rate (APR), what is the APR for this loan?
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A consumer is offered a loan of $400 for a term of 60 days. The advertised Annual Percentage Rate (APR) for this loan is 120%. To determine the total cost, the consumer needs to calculate the finance charge. Based on the standard APR calculation method, the total finance charge for this loan would be $____. (Round your answer to two decimal places).
Analyzing the Impact of Loan Duration on APR