Calculate the amount to be paid back after three years on a $3000 credit card loan with an interest rate of 15% combined yearly
To calculate the amount to be paid back after three years on a $3000 credit card loan with a combined yearly interest rate of 15%, we need to consider both the initial loan and the interest accumulated over the three-year period.
First, let's determine the interest accumulated for each year. The interest rate is 15%, so the annual interest can be calculated as 15% of $3000:
Annual interest = 15% * $3000 = $0.15 * $3000 = $450
Since this is a combined yearly interest rate, the interest accumulated for the entire three-year period will be 3 times the annual interest:
Total interest = 3 * $450 = $1350
Now, let's calculate the total amount to be paid back:
Total amount = initial loan + total interest
Total amount = $3000 + $1350
Total amount = $4350
Therefore, after three years, the amount to be paid back on the $3000 credit card loan with a combined yearly interest rate of 15% is $4350.
You can only choose from 4271, 3138 or 4562
Apologies for the earlier mistake. Let's recalculate the amount to be paid back after three years on a $3000 credit card loan with a combined yearly interest rate of 15% using the given options.
Option 1: $4271
Option 2: $3138
Option 3: $4562
To calculate the correct option, we need to add the initial loan amount to the total interest accumulated over the three years.
Total amount = initial loan + total interest
Total interest can be calculated as 15% of the initial loan amount multiplied by three:
Total interest = 15% * $3000 * 3 = $450 * 3 = $1350
Now, let's calculate the total amount to be paid back for each option:
Option 1: $3000 + $1350 = $4350
Option 2: $3000 + $1350 = $4350
Option 3: $3000 + $1350 = $4350
Therefore, the correct option is $4350.