SIMPLE INTEREST Q1. Muhammad takes out a loan of $1,500 at 8% simple interest, f

Question

SIMPLE INTEREST Q1. Muhammad takes out a loan of $1,500 at 8% simple interest, for 4 years. How much will he pay back in 4 years? 2- Calcul for 3 years. late the amount of interest on an investment of AED 100,000 at 8% simple interest Q3 Suppose that you took out a loan at 10% simple interest for 2 years. If the amount of interest on the loan was $800, find the amount of the loan Q4- Ahmed takes out a loan of AED 5000 for 2 years. After 2 years he pays back AED 5400 to clear his debt. What is the rate of simple interest charged?

Explanation / Answer

1.

Payback amount in 4 years = 1500 + 4*1500*8%

Payback amount in 4 years = $1980

2.

Amount of interest for 3 years = 3*100000*8%

Amount of interest for 3 years = AED 24000

3.

Amount of loan = 800/(10%*2)

Amount of loan = $4000

4.

Rate of simple interest = (5400-5000)/(5000*2)

Rate of simple interest =4%

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.