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Suppose You Borrow $1,000 at 8% for 2 Years

Question 2

Multiple Choice

Suppose you borrow $1,000 at 8% for 2 years. If the interest is compounded annually, how much money will you owe at the end of those 2 years?

A) $1,080.00
B) $1,160.00
C) $1,166.40
D) $1,345.60

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