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Joe borrowed $9,000 from the bank at a rate of 7% simple interest per year. How much interest did he pay in 2 years?

User Username
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2 Answers

7 votes

Final answer:

Joe paid $1,260 in interest over 2 years.

Step-by-step explanation:

To calculate the amount of interest Joe paid in 2 years, we can use the formula: Interest = Principal * Rate * Time. In this case, the principal is $9,000, the rate is 7% (which is equivalent to 0.07), and the time is 2 years. Plugging these values into the formula gives: Interest = $9,000 * 0.07 * 2 = $1,260. Therefore, Joe paid $1,260 in interest over 2 years.

User Dan Garant
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6 votes

Answer:17% interest

Step-by-step explanation:

User Allon
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