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Loan repayment/interest paid

alane1994

Active member
Oct 16, 2012
126
If a mod would like to change the title to something more fitting feel free.

A certain college graduate borrows 8,000 dollars to buy a car. The lender charges interest at an annual rate of 10%. Assuming that interest is compounded continuously and that the borrower makes payments continuously at a constant annual rate $k$, determine the payment rate $k$ that is required to pay off the loan in 3 years. Also determine how much interest is paid during the 3-year period.
 

MarkFL

Administrator
Staff member
Feb 24, 2012
13,775

alane1994

Active member
Oct 16, 2012
126
Re: Not sure what to title.

Well, hey, would you look at that :p
I am going to look over your work, and try and make sense of it for me. Then I will attempt the second part of the problem. If I get nowhere, I shall come running to my buddies for help! :D
 

alane1994

Active member
Oct 16, 2012
126
Thanks very much for the help, I really appreciate it!