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19 October, 08:19

Erin borrowed $18,000 to buy a car. Her loan will be paid off in 5 years. By the time that she pays off the loan, she will have made $20,327 in payments. Why did she have to pay $2,327 more than the price of the car?

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  1. 19 October, 09:31
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    She had to pay interest of $2,327 for the privilege of borrowing the principle of $18,000.
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