If you borrow $10,000 over five years, at the end of the five years, what will you have paid?(1 point) Responses more than $10,000 more than $10,000 $10,000 $10,000 $2,000 $2,000 less than $2,000
If you borrow $10,000 over five years, the amount you will have paid at the end of the five years will be more than $10,000.
To calculate the total amount paid at the end of five years for a $10,000 loan, we need to consider the interest rate on the loan. The interest rate will determine how much interest is added to the original loan amount. Without knowing the interest rate, it is not possible to provide an exact amount.
To determine the amount you will have paid at the end of five years when borrowing $10,000, you need to consider the interest on the loan.
Typically, loans come with an annual interest rate, which is a percentage of the loan amount that you have to pay each year. To calculate the annual interest amount, you multiply the loan amount by the interest rate.
Let's assume that the loan has an annual interest rate of 5%. To find the annual interest amount, you multiply $10,000 by 0.05, which equals $500. This means you would pay $500 in interest every year.
Since the loan term is five years, you multiply the annual interest amount ($500) by five to find the total interest paid over the loan term. Thus, the total interest paid would be $2,500 (500 x 5).
To calculate the total amount you will have paid at the end of the loan, you add the loan amount ($10,000) to the total interest paid ($2,500). Therefore, the answer would be $12,500.
So, the correct answer is "more than $10,000."