Question

Tony opened a hot dog stand last April. he borrowed $5800 to pay for the stand and startup inventory, and he agreed to pay off the loan in 9 months at 7% simple interest. find the total amount required to repay the loan.(round to the nearest cent as needed)

Answer 1

`\begin{gathered} \text{Borrowed amount=\$5800} \\ \text{year}=(9)/(12)=(3)/(4)\text{year} \\ \text{rate}=7\text{ \%} \\ \text{simple interest=}(5800*7*3)/(4*100) \\ \text{simple interest=\$304.5} \end{gathered}`