Solve the problem.
-Joe is buying some kitchen equipment for his new apartment. The total cost is $3400 and he places a down payment of $340. There is add-on interest of 9%. What is the total amount to be repaid if he
Takes 5 years to pay for the purchase?

Question

Quizplus · Accepted Answer

The principal amount after the down payment is $3400 - $340 = $3060. The interest is 9% of $3060, which is $275.40 per year. Over 5 years, the total interest is $275.40 * 5 = $1377. The total amount to be repaid is the principal plus the total interest: $3060 + $1377 = $4437.00.

Solve the Problem. -Joe Is Buying Some Kitchen Equipment for His New Apartment