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mel-nik [20]
3 years ago
8

Scott took out a 72 month loan for $35,000 to purchase a new boat. If Scott paid $8,925 in simple interest, what was the interes

t rate?
Mathematics
2 answers:
diamong [38]3 years ago
6 0

Answer:

Option 4.7% = 3,500 x 4.7% =$164.50 simple annual interest.

82.25 this is what Scott will pay in 6 months at simple interest.

 

Option 4.2% =3,500 x (1 +0.042/12)^6 =3,500 x 1.0035^6=$3,574.15.

3,500 =$74.15 this is what Scott will pay in 6 months at compounded interest.

 

The compound option is cheaper by: 74.15 =$8.10.

IRINA_888 [86]3 years ago
5 0

Answer: 4.75

Step-by-step explanation:

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