# Exp.Introduction to College Mathematics - CHALLENGE 2: Loans, Interest, and Investments.pdf

• 6

This preview shows page 1 - 3 out of 6 pages.

4/19/22, 8:08 PMIntroduction to College Mathematics - CHALLENGE 2: Loans, Interest, and InvestmentsUNIT 4 — CHALLENGE 2: Loans, Interest, and Investments2 — Compound InterestSolve interest and value real world word problems using compound interest.Tiffany borrows \$8,000 to pay for college. The loan has a 7% interest rate that compounds monthly. She plans to pay off the loan in 15 years.How much will she pay in total?Score1/512345Well done! You have completed this Challenge.Exit the ChallengeQuestionTutorialA.)\$15,002.31B.)\$22,791.57C.)\$19,283.29D.)\$18,309.87B.)Correct.
Page 1 of 6To find the answer, use the formula for compound interest.First, convert the interest rate to a decimal.Place the numbers into the compound interest formula.Follow the order of operations (PEMDAS) to calculate the total, beginning with the parenthesis.Next, calculate the exponent.Solution.Report an issue with this questionReported. Thanks for your feedback.This question:Unit 4 TutorialsCompound InterestSophia

Course Hero member to access this document

Course Hero member to access this document

End of preview. Want to read all 6 pages?