Question

If you borrow $600 for 8 years at an annual interest rate of 7%, what is the total amount of money you will pay back? ​

Answer 1

`~~~~~~ \textit{Simple Interest Earned Amount} \\\\ A=P(1+rt)\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill & \$600\\ r=rate\to 7\%\to (7)/(100)\dotfill &0.07\\ t=years\dotfill &8 \end{cases} \\\\\\ A = 600[1+(0.07)(8)] \implies A = 600(1.56) \implies A = 936`