Question

Levin borrowed $5,000 from the bank to make home improvements. The bank he chose to borrow from charges a simple interest rate of 6%.
How much interest will Levin pay if he takes 3 years to repay the loan?

Answer 1

ANSWER:
5900$


EXPLICATION:
5000$ represents 100% of the loan
We have to find out how much is a 6% of this loan.

100%—->5000$
6%—->6x100/5000=300$

So he have to pay 300$ per year
So in three years it will be 300x3=900$
We add it to the loan and we got 5900$