Answer:
Jason borrowed $4,4,77.29
Explanation:
In order to calculate this, let we will use the formula for the future value on an invested amount, semiannually, yielding interest at a certain interest rate. This is done as follows:
[tex]FV\ =\ PV(1+\frac{r}{n} )^{(n\times t)}[/tex]
where:
FV = future value = $6,000 (loan repayment)
PV = present value = amount borrowed = ??
r = interest rate = 10% = 10/100 = 0.1
n = number of compounding periods per year = 2
t = time = 3 years
[tex]6,000\ =\ PV(1+\frac{0.1}{2} )^{(2\times 3)}\\6,000\ =\ PV(1+ 0.05)^{6}\\6,000\ =\ PV(1.05)^{6}\\6,000\ =\ PV (1.340096)\\diving\ both\ sides\ by\ 1.340096\\PV = \frac{6,000}{1.340096} \\PV = \$4,477.29[/tex]
Therefore, Jason borrowed $4,4,77.29
