Question

Business Loan: The owner of a clothing store borrows $6,320 for 1 year at 18.5% interest. If he pays the loan back at the end of the year, how much does he pay back?He pays back $ at the end of the year.

Answer 1

Answer:

Explanations:

The amount borrowed is the principal, p

p = $6320

Interest Rate, r = 18.5%

The time, t = 1 year

The amount paid back at the end of 1 year is:

`\begin{gathered} A\text{ = P + }(PRT)/(100) \\ A\text{ = 6320 + }(6320*18.5*1)/(100) \\ A\text{ = 6320 + }1169.2 \\ A\text{ = }7489.2 \end{gathered}`

The a