Question

How much money is borrowed if the interest rate is 9.25% simple interest and the loan is made for 3.5 years and has 904.88 interest

Answer 1

The amount borrowed is 2795

What is Principal?

Principal is the amount loaned or invested in a bank or a financial institution that gives a certain interest on a specific rate over a period of time.

Analysis:

P = principal = unknown

R = rate = 9.25%

T = time = 3.5 years

I  = interest = 904.88

simple interest(I) = PRT/100

P = 100I/RT

P = 100 x 904.88/3.5 x 9.25 = 2795

In conclusion, the amount borrowed is 2795.

Learn more about simple interest: brainly.com/question/20690803

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