Final answer:
The interest on the borrowed amount is $38.33.
Step-by-step explanation:
To calculate the interest on a borrowed amount, we can use the formula:
Interest = Principal x Rate x Time
In this case, the principal amount is $1150, the rate is 5%, and the time is 8 months. Converting the rate to decimal form, we have 0.05.
Interest = $1150 x 0.05 x (8/12) = $38.33
The interest on the borrowed amount is $38.33.