Question 4 • FL-2102371-Personal Finance and Money Management
To calculate the interest rate for a payday loan over its term, divide the total fees by the amount borrowed. For example, a $30 fee on a $300 loan is 30 ÷ 300 = 0.10, or 10%. So the correct choice is “total fees divided by loan amount.”
AI-written and checked against the verified answer.