Question 873419
The question states "You take out a loan of $800 and the bank charges you 15% compounded interest per year. If *you don't pay off any of the loan in 4 years*, how much money would you owe them?"

Use this formula A(t) =  P(1+r/n)^nt
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A(4) = 800(1+(0.15/1))^(1*4) = 800(1.15)^4 = $1399.21
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Cheers,
Stan H.
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