# What is the nominal interest rate per week? Per year

After losing money playing on-line poker,

Scott visits a loan shark for a $750 loan. To avoid a visit from the

collection agency, he will have to repay $800 in just one week.

A. What

is the nominal interest rate per week? Per year?

B. What

is the effective annual interest rate?

Topic: Effective

Interest Rates

Level of difficulty: Medium