Suppose You Borrowed $14,000 at a Rate of 10

question 65

Multiple Choice

Suppose you borrowed $14,000 at a rate of 10.0% and must repay it in 5 equal installments at the end of each of the next 5 years.How much interest would you have to pay in the first year?

• A) $1,200.33
• B) $1,263.50
• C) $1,330.00
• D) $1,400.00
• E) $1,470.00

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Definitions:

Defense Mechanism

Psychological strategies employed unconsciously to protect oneself from anxiety arising from unacceptable thoughts or feelings.

Desire to Harm

An intention or inclination to cause physical, emotional, or psychological injury to others.

Potency Bias

The tendency to perceive or attribute more strength, influence, or efficacy to a cause or actor than is warranted based on evidence.

Defense Mechanism

Psychological strategies employed by individuals to cope with reality and maintain self-image.