187k views
0 votes
The following information is known about a loan. time = 7 years interest rate = 6% interest = $840.00 what was the principal on the loan?

2 Answers

6 votes
P=i/rt
P=840/7*0.06=2,000
User Buley
by
7.3k points
2 votes

Answer:

The principal on the was $2000.

Explanation:

We know that,


i=(P\cdot r\cdot t)/(100)

where,

i = interest,

P = principal,

r = rate of interest,

t = time.

Putting the given values,


\Rightarrow 840=(P\cdot 6\cdot 7)/(100)


\Rightarrow P=(840\cdot 100)/(6\cdot 7)=(84000)/(42)=\$2000

Therefore, the principal on the was $2000.

User David Dao
by
8.1k 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