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Mwenda borrowed a short-term loan of Shs. 300,000 from a bank and arranged to pay back in three equal yearly installments of sh. 100,000 each....

      

Mwenda borrowed a short-term loan of Shs. 300,000 from a bank and arranged to pay back in three equal yearly installments of sh. 100,000 each. The bank charges compound interest at the rate of 20% per annum and ledger fee at 2 ½ per annum on any outstanding balance at the beginning of that year. In order to clear the loan on time, Mwenda paid the installment plus interest and ledger fee at the end of each year for three years. Calculate the total amount of money Mwenda paid back in order to clear the loan.

  

Answers


sharon
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sharon kalunda answered the question on August 27, 2019 at 11:31


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