Question

The principal P is borrowed at a simple interest rater for a period of time t. Find the simple interest owed for the use of the money. Assume 360 days in a yearP = $200, r = 2%, t = 2 yearsneeded

Answer 1

we have the following:

`\begin{gathered} A=P\cdot(1+rt) \\ A=200\cdot(1+0.02\cdot2) \\ A=200\cdot(1.04) \\ A=208 \end{gathered}`

therefore, the answer is 208$