Question

you borrow $200 from a relative for six months. You agree to pay compound interest at the rate of 1% per month. How much interest will you pay your relative when you return the money at the end of the six months ?

Answer 1

the equasion is I=prt so so it is going to look like this I=200*1%*6 once you solve that you will get 12. you will have pay the relative $12 more