Question

If you borrowed $1,000 with an interest rate of 14.5% over 12 months, what is your total cost to borrow?

Answer 1

I dont have a calculator, but 1000(1 plus .145)^12..... I guess

Answer 2

The Simple Interest Formula is I =  Prt
I = ?
P = $1,000
r = 14.5% = 0.145
t = 1 year

I = 1000(0.145)(1)
I = $145

Your total cost to borrow is $145