Alex Borrowed $7500 to Buy a Car

question 91

Essay

Alex borrowed $7500 to buy a car. If interest is charged on a loan at 8.5%, how much interest would he have to pay in 120 days.

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Definitions:

Self-fulfilling Prophecy

A prediction that directly or indirectly causes itself to become true due to positive feedback between belief and behavior.

False Consensus Effect

The cognitive bias to overestimate the extent to which others share our beliefs, attitudes, and behaviors.

Weight Discrimination

The unfair treatment of individuals based solely on their weight or body size, often manifesting in social, professional, and health care contexts.

Festinger And Carlsmith

Researchers known for their 1959 cognitive dissonance experiment, which investigated the effects of forced compliance behavior on changing attitudes.