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BaLLatris [955]
3 years ago
15

Michelle is trying to buy a car that costs $35,550, and she has saved up $20,700. She borrowed the remaining amount that she nee

ded from a finance company. She now owes a total of $19,365 to the finance company. How much is the simple interest that accrued on this loan based on the original amount borrowed?
Mathematics
1 answer:
gizmo_the_mogwai [7]3 years ago
5 0

Answer:

$4,515 in simple interest

Step-by-step explanation:

Price of the car = 35,550

Amount saved = 20,700

Amount borrowed = Price of car- amount saved; 35,550-20700 = 14,850

Amount owed at the moment = 19,365

To find the simple interest charged= Total owed currently- amount initially borrowed;

Simple interest = 19,365 - 14,850 = 4,515

Therefore, Michelle's loan accrued $4,515 in simple interest.

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