Question

Jonathan borrowed $475 at a simple annual interest rate of 2%. How many years will it take him to repay the loan if he wants to pay $38 in interest?
A. 4
B. 5
C. 6
D. 7
Please help me out :)

Answer 1

Answer:

4

Step-by-step explanation:

Answer 2

Firstly you would times 475 by the percentage, which you can convert to a decimal my multiplying the percentage by 100.

475 * 0.02 = 9.50

Then divide the interest by the amount of interest per year:
38 / 9.5 = 4.

The answer would be 4 years.

Hope this helps.