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BartSMP [9]
3 years ago
8

Scott took out a 4-year car loan for $5,500. He paid back a total of $7,370. What interest rate did he pay for this loan?

Mathematics
1 answer:
elena-14-01-66 [18.8K]3 years ago
7 0
Amount of car loan taken by Scott = $5500
Amount of loan paid back by Scott = $7370
Then
Amount of money paid as interest by Scott = (7370 - 5500) dollars
                                                                     = 1870 dollars
Then
Percentage of interest given for the car loan = (1870/5500) * 100
                                                                       = 1870/55
                                                                       = 34 percent
So Scott had to pay a total interest rate of 34% in the four years.I hope the procedure is simple enough for you to understand and solve future problems.
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