Tony asked:


Bill’s Accounting is taking out a lease on $2,000 worth of computing equipment and office furniture, over a two year period. The bank charges 8.25% interest annually. Compute the interest paid and the total amount paid for the lease.

Caffeinated Content – Members-Only Content for WordPress

1 Comment so far

1. capwest5a June 17, 2009 3:03 am

   Interest = principal x rate x time. In this case,

   Interest = $2,000 x 0.0825 x 2 = $330

   Total amount paid is $2,000 + $330 = $2,330

Leave a Comment

If you would like to make a comment, please fill out the form below.