Question

The shoe store manager borrowed $17,000.00 from the bank to purchase 1000 pairs of shoes. The bank charges a simple interest rate of 5% per year on a loan to a business. If it takes 3 years to pay back the loan and interest, what is the total amount of interest that the shoe store will pay?

Answer 1

Answer:

2550

Step-by-step explanation:

1) So he borrowed 17,000

2) Simple interest is 5%

3) so 0.05 *17000 = 850

4)It takes the manager 3 years so, 850*3=2550

5) so 2550 is the total amount of interest the manager needs to pay