Suppose You Borrowed $15,000 at a Rate of 8

question 95

Multiple Choice

Suppose you borrowed $15,000 at a rate of 8.5% and must repay it in 5 equal installments at the end of each of the next 5 years.By how much would you reduce the amount you owe in the first year?

• A) $2,404.91
• B) $2,531.49
• C) $2,658.06
• D) $2,790.96
• E) $2,930.51

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Definitions:

Model Business Corporation Act

A template for states to use in drafting their corporate statutes, aimed at standardizing corporate law.

Shareholders Meeting

A formal gathering of the shareholders of a company to discuss and vote on company business.

Special Meeting

A meeting called for a specific purpose, outside of the regularly scheduled sessions.

Cumulative Voting

A system of voting for directors of a corporation in which shareholders can concentrate their votes on one candidate, rather than having to distribute them equally among candidates.