Question

Jay borrowed $15,000 for one year from a bank in order to buy a Ducatti motorcycle. He agreeded to pay an interest rate of 8% per year. At the end of one year, how much money would Jay pay back to the bank

Answer 1

Hey there!

Find the interest rate by multiplying 15000 by .08 (8%) and you would get 1200. So 1200 is the interest rate. Add 1200 to 15000 and you would get 16,200

So he would have to pay back $16,200 =. 

Answer 2

He would pay $1,200.
Multiply 15,000* 0.08 = 1,200
And since its 1 year you can multiply it by 1 but its the same.
So the answer is $1,200