Question

Elmer borrowed $3150 from his brother Julio to pay for books and tuition. He agreed to repay

Julio in 6 months with simple annual interest at 4%. How much must Elmer pay back at the end of 6
months?

Answer 1

Answer: $3,276

Explanation:

To find the amount of interest needed to be paid, you needed to multiply the amount of money by your interesate rate.

= 3150 x 0.04

= 126

So, we add this extra amount to be paid to the exisiting total

= 3150 + 126

= $3,276