Question

Rizwana borrowed 4500 for three years with simple interest of 7 ½% per annum. How much did she repay?

Answer 1

Answer: 1012.50

Explanation:

The formula for calculating Simple interest is:

= Principal × Rate × Time

= 4500 × 7 1/2% × 3

= 4500 × 7.5/100 × 3

= 4500 × 0.075 × 3

= 1012.50

Therefore, the simple interest is 1012.50