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Nana76 [90]
3 years ago
12

A Bank offers an annual simple interest rate of 8% on home improvement loans. Tobias borrowed $17,000 over a period of 2 years.

Hown much did he repay altogethere ?
Mathematics
1 answer:
Alex17521 [72]3 years ago
6 0

We first find out the amount in dollars of interest accrued after 2 years  time.

Interest = Prt

where P is the principal, r is the rate and t is  time

8% written in decimal fraction → 8/100 → 0.08

Interest = 17000 × 8% × 2

Interest = 1700 × 0.08 × 2

Interest =  2,720 dollars

We add the principal and the interest to get full amount paid, so:

17000 + 2,720 = 19,720

I hope that you good day

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