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Miss Jones Borrowed $10,000 at 12% Compounded Monthly, and Agreed

Question 72

Multiple Choice

Miss Jones borrowed $10,000 at 12% compounded monthly, and agreed to pay back the loan by equal monthly payments over five years. After making the first 10 payments on time, she missed the next four payments.
-How much extra interest did Miss Jones have to pay because of the late payments?


A) $22.47
B) $16.85
C) $179.15
D) $11.25
E) $4.50

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