Assume You Borrow $30,000 at an Interest Rate of 5

question 81

Multiple Choice

Assume you borrow $30,000 at an interest rate of 5.35 percent. The terms stipulate that the principal is due in full in 5 years and interest is to be paid annually at the end of each year. How much total interest will you pay on this loan assuming you pay as agreed? 

• A) $4,982 
• B) $7,400 
• C) $8,025 
• D) $8,500 
• E) $1,605 

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