Find the common ratio r for the given infinite geometric sequence.
-A man borrowed $3000 at 1.5% interest compounded annually. If he paid off the loan in full at the end of 6 years, how much did he pay?
A) $3270.00
B) $3280.33
C) $3045.00
D) $280.33

Question

Quizplus · Accepted Answer

The amount paid off for a loan compounded annually is calculated using the formula $A = P(1 + r)^n$, where $A$ is the amount, $P$ is the principal amount, $r$ is the annual interest rate, and $n$ is the number of years. Here, $P = $3000$, $r = 1.5\% = 0.015$, and $n = 6$. Plugging these values into the formula gives $A = 3000(1 + 0.015)^6$, which calculates to approximately $3280.33.

Find the Common Ratio R for the Given Infinite Geometric