SOLUTION: Lynne needs to borrow $7500 for cosmetic surgery. She obtains a loan from her grandmother for 24 months at a simple interest rate of 8.5%. What is the loans future value?

Question 1181212: Lynne needs to borrow $7500 for cosmetic surgery. She obtains a loan from her grandmother for 24 months at a simple interest rate of 8.5%. What is the loans future value?
Answer by ikleyn(52879) (Show Source): You can put this solution on YOUR website!
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The future value of this simple interest loan is


    FV = 7500*(1 + 0.085*2) = 8775 dollars.


Here the number of "2"  represents  2 years = 24 months.

Solved, answered and explained.

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To see many other similar (and different) solved problems on simple interest accounts, look into the lesson
- Simple interest percentage problems
in this site.

Learn the subject from there.

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