How much will need to deposit into account one year

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Your aunt loans you $15,300 to help pay for your education. She charges you simple interest of 4% per year.

Question 1: What will you pay your aunt if you pay back the loan at the end of 5 years?

Question 2: Suppose you will need $9,000 in 12 years. If your bank compounds interest at an annual rate of 6%, how much will you need to deposit into your account 1 year(s) from now to reach your goal? Enter your answer rounded to two decimal places.

Reference no: EM132470915

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