Alice takes out a loan with a simple interest rate of 7% per…
Alice takes out a loan with a simple interest rate of 7% per year. If she owes $2722.50 at the end of 3 years, what was the amount of the original loan? (Let x be the amount of the original loan. You need to take 7% of x, not of the final amount, and remember that the amount she owes is the original loan plus the interest.) Show your work.
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