P2000 is borrowed for 105 days at 12% per annum simple interest. How much will be...

P2000 is borrowed for 105 days at 12% per annum simple interest. How much will be due at the end of 105 days?

Simple Interest

Solutions

Expert Solution

Simple interest formula:

I = P * r * t

I is interest

P is Principal

r is rate of interest per annum

t is number of years

P = P2000

r = 12% = 0.12

t = 105 days = (105 / 365) years

I = P2000 * (105 / 365) * 0.12 = P25,200 / 365

= P69.04

Simple interest will be P69.04 at the end of 105 days.

Rahul Sunny answered 2 years ago

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