Answer: He will repay $100
Step-by-step explanation: The interest payable after a given number of years is calculated by the following formula;
Interest = PRT
Where P is the initial amount invested/borrowed, R is the rate of interest payable (in percentage) and T is the time in years.
Substituting values into the formulae, we now have;
Interest = 500 x (10/100) x 2
Interest = 1000 x 0.1
Interest = 100
Therefore the interest payable is $100
