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marysya [2.9K]
2 years ago
11

You loan your brother $300 and charge him 2% simple annual interest. He promises to

Mathematics
2 answers:
evablogger [386]2 years ago
5 0

Answer:

$306

Step-by-step explanation:

In one year, the 2% annual interest would have been applied once. Therefore, your brother would pay you 1.02 * 300 which is 306.

Hope this helps :)

kvv77 [185]2 years ago
3 0

Answer:  306 dollars

===========================================

Work Shown:

i = P*r*t ..... simple interest formula

i = 300*0.02*1

i = 6

Your brother pays $6 in simple interest on top of the $300 in principal loaned to him. The total amount he pays back is 300+6 = 306 dollars.

----------

Another way to calculate the answer is to do these steps

A = P*(1+r*t)

A = 300*(1+0.02*1)

A = 300*(1.02)

A = 306

The 1.02 represents a 2% increase when going from 300 to 306.

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