Larry bought a computer system for $1,895. He put $500 down and
financed the rest. He made 24 payments of $65.50 each. How much
interest did he pay?
a. $1,770
b. $103
c. $1,572
d. $177
The total amount Larry paid over 24 months is:
$65.50 * 24 = $1,572
To find the amount of interest he paid, we need to subtract the amount he financed from the total amount he paid:
$1,572 - ($1,895 - $500) = $1,572 - $1,395 = $177
Therefore, Larry paid $177 in interest.
The answer is d. $177.