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Swiftyicego
Answered

You are debating about whether to buy a new computer for $800.00 or a refurbished computer with the same equipment for $640.00. If a savings account earns 4.5% APR interest, how much do you really save with a refurbished computer if you put the difference into the savings account for a year?

$7.20

$720.00

$167.20

Answer :

APR refers to annual interest rate i e 4.5%

Difference:-

  • 800-640
  • 160$

Now

Interest:-

  • 160(0.045)
  • 7.20$

Total savings:-

  • 160+7.20
  • 167.20$

Remember the code:-

  • Question's calculations mostly given in its options

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