Question

If you borrow $800 for 10 years at an annual interest rate of 12%, how much will you pay altogether?​

Answer 1

the principal amount is 10000 is the rate of interest is 10 and the number of years is 10 you can calculate the simple interest a is equal to 10000 1 + 0 is equal to 1.6 is equal to 16000 interest is equal to a - b is equal to 6000 - 1000

Answer 2

$1,760

Explanation:

So I'm assuming the interest is simple interest rate which means that the interest applied each year is 12% of the original amount.

So this means that we can find the interest rate from one year by finding 12% of 800, and to do this we convert 12% to a decimal by dividing by 100 to get 0.12 and then use this decimal value to multiply by 800 to get: 0.12 * 800 = 96.

This means annually $96 will be charged in interest. To find how much interest there is after 100 years, simply multiply by 10, to get $96 * 10 = $960.

This is only the interest rate, it's like a fee, you still have to pay back the original amount, so all together you pay: $ borrowed + interest

So we add the interest rate 960 to the amount borrowed 800 to get: 960 + 800 = 1,760