SOLUTION: Alvin borrowed $7,000 from his cousin to purchase a car at a simple interest rate of 4% How much interest will he owe his cousin after 3 years?

Question 1131332: Alvin borrowed $7,000 from his cousin to purchase a car at a simple interest rate of 4% How much interest will he owe his cousin after 3 years?
Found 2 solutions by Boreal, MathTherapy:
Answer by Boreal(15235) (Show Source): You can put this solution on YOUR website!
the amount owed will be 7000(1+.04)^3=$7874.05
the amount of interest is $7000 less than that or $874.05
Answer by MathTherapy(10552) (Show Source): You can put this solution on YOUR website!

Alvin borrowed $7,000 from his cousin to purchase a car at a simple interest rate of 4% How much interest will he owe his cousin after 3 years?

Correct answer:
Accept NO OTHER answer!
RELATED QUESTIONS
Bobby Smith borrowed $6500 for a new car. He will pay it off in 8 months at an annual... (answered by addingup)
A man borrowed $3600 for 1 month at an annual rate of 5%. How much interest did he... (answered by orca)
Donny borrows $20 from his brother Mike at a daily interest rate of 5%. How much will he... (answered by checkley71)
Tom borrowed money from a credit union for 3 years and was charged simple interest at an... (answered by ikleyn)
Joe borrowed $900 from Sam for six months. How much will Sam earn if he charges Joe a... (answered by solver91311)
Bobby Smith borrowed $6500 for a new car. He will pay it off in 8 months at an annual... (answered by ikleyn)
A natural history museum borrows $2,000,000 at simple annual interest to purchase new... (answered by CPhill)
You take out a loan of $15,000 to purchase a car. If your loan is for 3 years at a... (answered by Boreal,MathTherapy)
A museum borrows $2,000,000 at simple annual interest to purchase new exhibits. Let x... (answered by addingup)