Question

Andrea borrowed 2,240 at 15% apr for 18 months. how much interest will she pay?is the answer $336

Answer 1

No, the answer is not $ 336

The interest that she will pay is $ 504.

Explanation:

Given : Andrea borrowed 2,240 at 15% apr for 18 months.

We have to calculate the interest will she pay.

Using formula for Simple interest.

`SI =P* r* t`

Where P is principal amount

r is rate of interest

t is time period.

Given : P = $ 2240

t = 18 months

In years ,
`(18)/(12)`

r = 15% = 0.15

Substitute, we have,

`SI=2240\cdot0.15\cdot(18)/(12)`

Simplify, we have,

SI = 504

Thus, The interest that she will pay is $ 504.

No, the answer is not $ 336