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Boris Borrowed $500 Five Years Ago

Question 260

Multiple Choice

Boris borrowed $500 five years ago. The interest rate on the loan was 9% compounded monthly for the first 27 months and 6% compounded quarterly for the rest of the time. How much did he owe now?


A) $878.27
B) $720.63
C) $846.92
D) $603.33
E) $751.90

Correct Answer:

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