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vampirchik [111]
3 years ago
13

Trudy borrowed $560.00 from a friend and agreed that for several years she would make equal monthly payments to pay only the int

erest on the loan. If her 12 interest payments each year total 6.5% of the amount she borrowed, how much interest has she paid after 18 monthly payments?
Mathematics
1 answer:
likoan [24]3 years ago
5 0

Answer:

$54.6

Step-by-step explanation:

Amount borrowed = $560

Interest paid in the 12-month period = 6.5% of 560 =$36.4

The amount of interest Trudy pays in 18 months is worked out as

Monthly interest = $36.4/12

Interest payable in 18 months

= ($36.4/12) x 18

= $54.6

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