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2 years ago

11

risa loaned Abi $50 for a month. She charged 5% weekly simple interest for the month. How much did Abi have to pay Risa?

1 answer:

Simora [160]2 years ago

3 0

since the rate is a weekly basis, the period will also be in a weekly basis, so t = 4, assuming a month to be 4 weeks.

$~~~~~~ \textit{Simple Interest Earned Amount} \\\\ A=P(1+rt)\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill & \$50\\ r=rate\to 5\%\to \frac{5}{100}\dotfill &0.05\\ t=weeks\dotfill &4 \end{cases} \\\\\\ A=50[1+(0.05)(4)]\implies A=50(1.2)\implies A=60$

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