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Lora borrowed $4,500 for some home repairs. She will be paying 6% in simple interest over the next three years. What is the total amount she will be paying on the loan

Respuesta :

qop

Answer:

$5,310

Step-by-step explanation:

We are going to use the simple interest formula for this problem:

[tex]A = P (1 + rt)[/tex]

P = initial balance

r = annual interest rate

t = time

First, change 6% into the decimal form:

6% -> [tex]\frac{6}{100}[/tex] -> 0.06

Next, plug in the values:

[tex]A=4,500(1+0.06(3)[/tex]

[tex]A=5,310[/tex]

Lora will own $5,310 after 3 years.