Royce took out a 3 year loan to purchase a car at 4.5% simple interest. If he pays $405 in interest, how much principal did he b
orrow?
2 answers:
Answer:
Royce took out a 3 year loan to purchase a car at 4.5% simple interest. If he pays $405 in interest, how much principal did he borrow?
Answer:
Solution here,
Principal=?
Time =3 year
Rate of percent= 4.5
SIMPLE intrest=$405
Now
Principal=(SIMPLE INTREST × 100)/(TIME × RATE)
=$40500/13.5
=$3000
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