Answer:
Principal = $ 1,000
Interest = $ 550
Step-by-step explanation:
Given,
The total amount of the loan = $ 1,000
Since, the amount of the loan is called principal amount of the loan,
Thus, principal amount of the loan is $ 1,000
Now, the amount she return = $ 1,550,
Hence, the interest she paid = amount returned - principal amount
= $ 1550 - $ 1000
= $ 550
