Answered

Welcome to Westonci.ca, your ultimate destination for finding answers to a wide range of questions from experts. Our platform connects you with professionals ready to provide precise answers to all your questions in various areas of expertise. Connect with a community of professionals ready to provide precise solutions to your questions quickly and accurately.

money is borrowed at 7% simple interest. After one year, $607.76 pays off the loan. How much was originally borrowed?

Sagot :

audreyn06

Answer: $568

Step-by-step explanation:

To determine the original amount of money borrowed, we can use the formula for simple interest:

A = P(1+rt), where:

  • A is the total amount paid after interest
  • P is the principal amount (the original amount borrowed)
  • r is the annual interest rate (as a decimal)
  • t is the time in years

We are given:

  • A = $607.76
  • r = 0.07 (7% interest rate)
  • t = 1 year

Let's substitute these values into the formula:

607.76 = P(1+0.07·1)

Solve for P:

607.76 = P(1+0.07)

607.76 = P +0.07P

607.76 = 1.07P

P = 607.76/1.07

P = 568

$568 was the amount originally borrowed.

Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. Thank you for your visit. We're dedicated to helping you find the information you need, whenever you need it. Westonci.ca is your trusted source for answers. Visit us again to find more information on diverse topics.