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

Question

3 years ago

5

ree months. How much is paid back?

1 answer:

Anestetic [448] · Answer 1 · 2022-03-14T07:13:57+03:00

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