Suppose You Take Out a Loan from the Local Mob

question 71

Multiple Choice

Suppose you take out a loan from the local mob boss for $10,000.Being a generous banker,the mob boss offers you an APR of 60% with monthly compounding.The length of the loan is 3 years with monthly payments.However,you want to get out of this arrangement as quickly as possible.You decide to pay off whatever balance remains after the first year of payments.What is your remaining balance after one year?

• A) $8,124.46
• B) $8,339.13
• C) $9,233.06
• D) $9,342.47

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Strengths

The attributes or qualities that a person or entity possesses which are considered beneficial and can provide advantages.

Application Letter

A written form of communication aimed at applying for a job, academic program, or other opportunities, highlighting qualifications and intent.

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A document summarizing an individual's professional qualifications, including their education, experience, and skills, typically used for job applications.