Question

A man borrows $800 for 2 years at a simple interest rate of 20%. What is the total amount that must be repaid

Answer 1

Answer: $\ 1120$

Step-by-step explanation:

Given

Man borrows $800 for 2 years

Rate of interest is R=20%

Simple interest is given by

$\Rightarrow S.I.=\dfrac{P\times R\times T}{100}$

Insert the values

$\Rightarrow S.I.=\dfrac{800\times 20\times 2}{100}\\\\\Rightarrow S.I.=\ 320$

So, total payable amount is

$\Rightarrow 800+320\\\Rightarrow \ 1120$