You borrow $3,500 and will pay back the entire amount in 5 years. You are charged 9 percent interest per year. How much interest do you pay on this loan?
A)$1,885.18
B)$1,907.35
C)$1,959.02
D)$2,106.81

Question

Quizplus · Accepted Answer

The correct answer is A.The total amount of interest paid on the loan is $1,885.18. This is calculated by multiplying the principal amount of the loan ($3,500) by the annual interest rate (9%) and then multiplying that number by the number of years of the loan (5).

You Borrow $3,500 and Will Pay Back the Entire Amount