6. (a). You deposit $29,000 in an account that charges a 5% interest rate, using
simple interest. You have had the money in the account for 5 years.
i. What is the interest amount? (2 marks)
ii. What is the total amount of money in the account? (1 mark)
(b). You take out a car loan for $780,000. It is to be repaid over a 5 years period at
18% interest rate, compounded annually.
i. What is the interest amount? (2 marks)
ii. What is the total amount of money in the account? (1 mark)