Question: Jack and Jill are friends who borrow from each other often. Last week Jack borrowed $1200 from Jill, which he promised to pay back with an interest of 10%. How much will Jack pay back? Think carefully first, then make a decision:
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The interest on the loan is 0.1 * 1200 = $120. The total amount Jack needs to pay back is 1200 + 120 = 1320. So the answer is 1320.
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