Question

Asked Nov 14, 2019

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To borrow money, you pawn your guitar. Based on the value of the guitar, the pawnbroker loans you **$**840. One month later, you get the guitar back by paying the pawnbroker **$**1272. What annual interest rate did you pay?

Step 1

Given:

To borrow money, you pawn your guitar. Based on the value of the guitar, the pawnbroker loans you **$**840. One month later, you get the guitar back by paying the pawnbroker **$**1272.

Step 2

Concept used:

Step 3

We know that 1 year = 12...

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