Question

FAY BORROWED $900.00 AT 10% SIMPLE INTEREST FOR 7 YEARS USING THE FORMULA PRT- HOW MUCH INTEREST WAS SHE CHARGED?

Answer 1

Interest = $ 630

Analysis:

We can use the formula PRT

Interest: P*R*T

Interest= Principal*rate of interest in decimal*time

Let's apply this in the exercise.

$\begin{gathered} I=900\ast0.1\ast7 \\ I=90\ast7=630\text{ } \end{gathered}$