Question

Shen took out a loan for 225 days and was charged simple interest at an annual rate of 7.3%. The total interest he paid on the loan was $117. How much money did Shen borrow?

Answer 1

Answer:

$2600

Step-by-step explanation:

Answer 2

Answer:

Using the formula of Simple Interest, we find that he borrowed $2585.

Step-by-step explanation:

The formula to calculate the interest is I = Prt. Here P is the principle amount, r is the rate and t is time period in years.

Given that I is $117, r is 7.3% and t is 225 days. Converting t in years, we get t = 0.62 years. We have to find the P.

P = I / rt

P = 117 / (0.073 × 0.62)

P = 2585

So using the formula of Simple Interest, we find that Shen borrowed $2585.

For more explanation, refer the following link:

https://brainly.com/question/2294792

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