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Dmitriy789 [7]
3 years ago
8

An amount of $32,000 is borrowed for 10 years at 5.75% Interest, compounded annually. If the loan is paid in full at the end of

that period, how much must be
paid back?
Use the calculator provided and round your answer to the nearest dollar.
5
?
Mathematics
1 answer:
Leya [2.2K]3 years ago
6 0

Answer:

Total cost of the loan $55,969.8.-

Step-by-step explanation:

Giving the following information:

An amount of $32,000 is borrowed for 10 years at 5.75% Interest, compounded annually.

<u>To calculate the total cost of the loan, we need to use the Future Value (FV) formula:</u>

<u></u>

FV= PV*(1 + i)^n

PV= loan

i= interest rate

n= number of periods

FV= 32,000*(1.0575^10)

FV= $55,969.8

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<h3>What is ordered pair?</h3>

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