Solve the Problem $\$ 5,000$ In Student Loan from Two Lenders $4.1 \%$

question 194

Multiple Choice

Solve the problem.
-Franco borrows a total of $\$ 5,000$ in student loan from two lenders. One charges $4.1 \%$ simple interest and the other charges $6.1 \%$ simple interest. He is not required to pay off the principal for $3 \mathrm { yr }$ .
However, at the end of $3 \mathrm { yr }$ , he will owe a total of $\$ 825.00$ for interest from both loans. How much did he borrow from each lender?

• A) She borrowed \(\$ 3,900\) at \(4.1 \%\) and \(\$ 1,100\) at \(6.1 \%\).
• B) She borrowed \(\$ 1,100\) at \(4.1 \%\) and \(\$ 3,900\) at \(6.1 \%\).
• C) She borrowed \(\$ 1,500\) at \(4.1 \%\) and \(\$ 3,500\) at \(6.1 \%\).
• D) She borrowed \(\$ 3,500\) at \(4.1 \%\) and \(\$ 1,500\) at \(6.1 \%\).

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Definitions:

Kinship Care

Grandparents or other relatives raising children when parents are unable to; may be temporary or a permanent legal guardianship.

International Adoption

The process of adopting a child from another country through legal and international processes, often involving complex regulations and procedures.

Nuclear Families

Family units consisting of two parents and their children, considered as a basic social unit.

Same-sex Parents

Couples of the same sex who are raising children together, through biological means, adoption, or fostering.