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LekaFEV [45]
3 years ago
5

A man took out a $44,000 construction loan to remodel a house. The loan rate is 8.5% simple interest per year to be repaid in th

ree months. How much is paid back?​
Mathematics
1 answer:
Anestetic [448]3 years ago
8 0

9514 1404 393

Answer:

  $44,935

Step-by-step explanation:

The amount due will be ...

  A = P(1 +rt) . . . . principal P at annual rate r for t years

__

3 months is 3/12 = 1/4 years, so the amount is ...

  A = $44,000(1 +0.085×1/4) = $44,935 . . . amount paid back

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