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26 votes
26 votes
A health-food store owner buys new products for his store by borrowing against a credit line of $4,500 from one of his wholesale suppliers. He is usually given 9 months to pay the money back. The store owner borrows the full amount and is told by the supplier that his monthly payments will be $600 a. How much did the distributor pay back altogether? How much in interest did the distributor pay for the loan?​

User Tarrant
by
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1 Answer

10 votes
10 votes

Answer:

Loan Amount= $4500

Monthly Payment= $600

9 months= $600*9= $5400

Interest = $5400-$4500= $900

User Levine
by
3.0k points
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