Ali takes out a loan at 10 percent compounded annually for 7 years. At the end of this period, he pays off the loan at a value of $23,384.61. What amount did he borrow? Select one: a. $12,000.00 b. $14,000.00 c. $15,000.00 20 d. $13,000.00

Ali takes out a loan at 10 percent compounded annually for 7 years. At the end of this period, he pays off the loan at a value of $23,384.61. What amount did he borrow? Select one: a. $12,000.00 b. $14,000.00 c. $15,000.00 20 d. $13,000.00

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter16: Interest, Rent, And Profit

Section: Chapter Questions

Problem 1WNG

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Question

Ali takes out a loan at 10 percent compounded annually for 7 years. At the end of this period, he
pays off the loan at a value of $23,384.61. What amount did he borrow?
Select one:
a. $12,000.00
b. $14,000.00
c. $15,000.00
20
d. $13,000.00

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