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Popular Word Problems >

Alex borrowed 2,000 for 2 years at 5% compound interest rate. How much interest is that?

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Solution

Alexborrowed2,000for2yearsat5%compoundinterestrate.Howmuchinterestisthat?

Solution

Interest:205
Solution steps
Translate the problem into an equation:2205=2000+I
Solve for I,2205=2000+I:I=205
Interest:205

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