If the interest rate is 10 percent how much will it cost, Ask an Expert

Economics

You purchased an automobile a year ago for $10,000. Its current market price is $6,000, and the expected market value one year from now is $4,000. If the interest rate is 10 percent, how much will it cost you to keep the car for an additional year (over and above operation and maintenance costs)?

a. $2,000
b. $2,600
c. $4,000
d. $6,000

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M938269

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