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29 June, 03:13

Let's assume that a carpenter borrowed $2 comma 000 to be paid off in a year to finance a machine that would make him work faster. As a result, he is able to take on more projects and collect $400 more earnings in the first year, after paying off the principal of $2 comma 000. However, there is a 12 % rental fee (interest) on his loan that he also has to pay off. The carpenter earned an extra $ nothing in the first year. (Round your response to the nearest dollar)

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  1. 29 June, 03:15
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    The carpenter earned an extra $ nothing in the first year.

    $160

    Explanation:

    Loan 2000

    % interest 12%

    FV=C * (1+I)

    FV=2000 * (1+12%)

    FV=2000*1,12

    FV=2240

    Loan = 2000

    Interest=240

    Earn=400

    Extra earning=400-240

    Extra earning=160
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