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

---

Definitions:

Normalcy

The condition of being normal; the state of being usual, typical, or expected.

Developmental Task

A learning task that is typical at a certain stage in life, which an individual must successfully complete for optimal development.

Havighurst

Refers to Robert Havighurst's developmental task theory, which suggests that individuals must navigate through specific key tasks during different stages of life.

Psychosocial Theory

A framework for understanding human behavior that encompasses both psychological and social factors.