Clarke borrows $16,000 to buy a car. He
pays simple interest at an annual rate of 6%
over a period of 3.5 years. How much does
he pay altogether?
A $18,800
B $19,360
C $19,920
D $20,480

Question

09-04-2015
Mathematics

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Clarke borrows $16,000 to buy a car. He
pays simple interest at an annual rate of 6%
over a period of 3.5 years. How much does
he pay altogether?
A $18,800
B $19,360
C $19,920
D $20,480

Sagot :

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HarryBidn HarryBidn · Answer 1 · 2015-04-09T00:17:59-04:00

HarryBidn HarryBidn

09-04-2015

The answer is choice B $19,360 because we multiply the annual interest rate of 6% or .06 by 3.5 years and we get a total interest of .21. The answer is found by performing $16,000 times 1.21 and we get $19,360.

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