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36 votes
36 votes
Ryad borrowed $1,450 and made 18 payments of $95.25. How much did hepay in interest?a. $80.55b. $264.50c. $1,714.50d. $85.85

User Sertorio Noronha
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1 Answer

20 votes
20 votes

Given:

The total amount borrowed, P=$1450.

The amount paid for each payment, A=$95.25.

The number of payments made, N=18.

Now, the total amount paid back can be calculated as,


\begin{gathered} T=N* A \\ =18*95.25 \\ =1714.5 \end{gathered}

The amount paid in interest can be calculated as,


\begin{gathered} I=T-P \\ I=1450-1714.5 \\ I=264.50 \end{gathered}

Therefore, the amount paid in interest is $264.5.

Option b is correct.

User JamesDullaghan
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