Final answer:
Evan lent $5000 to Cameron. No interest or other terms were provided, so the total amount lent remains the principal of $5000. Understanding loan repayment and equity is important in financial scenarios but not needed to answer this question.
Step-by-step explanation:
The amount of money lent by Evan to Cameron is $5000. When dealing with loans, several financial concepts come into play, such as interest rates, equity, and loan repayments. For instance, if you lend money, the original amount given is known as the principal. In this case, Evan lent Cameron $5000, which is the principal amount.
In financial transactions such as loans, the borrower might agree to pay an additional cost known as interest, which can be calculated using a simple interest formula: Interest = Principal × Rate × Time. For example, if Evan had charged a simple interest rate of 6% per annum on the $5000 for one year, Cameron would owe him an additional $300 in interest, making the total repayment $5300. However, the question does not specify an interest rate, so we only consider the principal amount.
Comparing to similar scenarios, such as a mortgage or a credit card debt, the total amount repaid can significantly exceed the principal due to interest and fees. For instance, repaying a mortgage of $1,000,000 at $5995.51 per month for thirty years would result in a total repayment exceeding $2.1 million. Likewise, dealing with student loans or mortgages involves considering the equity in a property, which is the value of the property minus any debt owed on it. For example, if Frank's house is valued at $160,000 and he owes $60,000 to the bank, his equity would be $100,000.
To summarize, Evan lent Cameron exactly $5000, and unless further details are provided about interest rates or repayment terms, the answer stays straightforward and does not delve into the complexities of loan repayment calculations or property equity.