16.6k views
2 votes
Franco borrows $400 and will pay 4% simple interest.

Write an equation to answer each question.

A. What will be the amount of interest if Franco pays back the loan in 1 year?

B. What will be the amount of interest if he pays back the loan in 2 years?

C. If Franco pays off the loan in 2 years, what is the total amount he will pay the lender?

User Leedex
by
7.3k points

1 Answer

7 votes

Answer:

17,520

Explanation:

4% of 400 = 16.

Now for question A there is 365 days in a year.

365 x 16 = 5840 .

Question B we do 365 + 365 = 730, for two years.

730 x 16 = 11,680.

Question C we will add our answers for the total amount.

11,680 + 5,840 = 17,520.

User Drmaa
by
8.6k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories