a firm borrowed 12000 dollars at a simple annual interest rate of 8 percent for a period of 3 years. at the end of the first year the firm found that its needs were reduced. the firm returned a portion of the original loan and retained the remainder until the end of the 3- year period. if the total interest paid was 1760 dollars how much was returned at the end of the first year?
2007-03-06 15:01:28 · 3 answers · asked by mrr86 5 in Business & Finance ➔ Credit
7000 dollars
2007-03-06 15:12:08 · answer #1 · answered by arvind s 1 · 0⤊ 0⤋
7000 is right-good job responder#1. This took me 30 seconds to figure out in my head. The interest after year 1 is 960. So you paid 800 total over the last 2 years or 400 per year. 400 in interest for 1 year is 8% of 5000. There is probably an algebra formula for this that your teacher was trying to teach you.
2007-03-08 08:46:43 · answer #2 · answered by CALIFORNIA GOLD 3 · 0⤊ 0⤋
Looking for someone to do your homework?
2007-03-06 23:56:46 · answer #3 · answered by ACTS 4:12 4 · 0⤊ 0⤋