Question

Money is borrowed at 11% simple interest. After one year, $834.72 pays off the loan. How much was originally borrowed?

Answer 1

`~~~~~~ \textit{Simple Interest Earned Amount} \\\\ A=P(1+rt)\qquad \begin{cases} A=\textit{accumulated amount}\dotfill & \$834.72\\ P=\textit{original amount}\\ r=rate\to 11\%\to (11)/(100)\dotfill &0.11\\ t=years\dotfill &1 \end{cases} \\\\\\ 834.72=P[1+(0.11)(1)]\implies 834.72=P(1.11) \\\\\\ \cfrac{834.72}{1.11}=P\implies 752=P`