Question

Connor took out a 4-year loan to buy a car at a 4% simple interest rate. If he has to pay $240 in interest, how much principal did he borrow?

Answer 1

Answer:

The principal he borrowed is $1500

Step-by-step explanation:

Let's assume principal he borrowed as P

now, we can use formula

$SI=\frac{P\times r\times t}{100}$

where

SI is simple interest

r is interest rate

t is time in years

we are given

r=4%

SI=240

t=4

now, we can plug this value

$240=\frac{P\times 4\times 4}{100}$

now, we can solve for P

$16P=24000$

$P=1500$

So,

The principal he borrowed is $1500

Answer 2

Answer:

He borrowed 1500 principle

Step-by-step explanation: