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You Are Borrowing Money Today at a 7

Question 179

Multiple Choice

You are borrowing money today at a 7.5% interest rate. You will repay the principal plus all the interest in one lump sum of $7,500 two years from today. What is the amount of the loan proceeds?


A) $6,003.47
B) $6,166.67
C) $6,250.00
D) $6,418.30
E) $6,489.99

Correct Answer:

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