Tom borrowed $600 at 10% per year, simple interest, for 3 years. How much did he have to repay (principal + interest) at the end of the 3 year period?

Expert Solution

Tom borrowed $600 at 10% per year, simple interest, for 3 years

Therefore

P =$600

r= 10%

time (t)= 3 years

The interest to pay is given by

Interest= ptr = $600 * 10% * 3

= $180

Total to repay=600 + 180 = $780

Tom repayvat the end of the 3 years total $780.

Total to repay

600 + 180 = $780

Nipun Maity answered 3 years ago

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