What is the implicit borrowing rate being paid by customers, Finance Basics

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What is the implicit borrowing rate being paid by customers

Problem

A store will give you a 250% discount on the cost ofyour purchase if you payr cash today. Otherwise, you will be billed the full price with payment due in1 month. What is the implicit borrowing rate being paid by customers who choose to defer payment for the month?

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Finance Basics: What is the implicit borrowing rate being paid by customers

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