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Introduction to Macroeconomics

Question 1 • SEPHS - SOC240 - Economics (Fall)

The bank would earn a profit of over years if a customer was charged 15% interest.A consumer would save over the life of the loan with a 5% interest rate rather than a 10% interest rate.

Answer
A
$4,274
B
$10,000
C
$14,274
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The bank would earn a profit of over years if a…