Question

Tyler borrowed $2,000 at an 11.5% simple interest rate. How much will Tyler pay in interest at the end of 5 years?

Answer 1

$1,150

Explanation:

The computation of the interest that should be paid at the end of 5 years is shown below:

As we know that

Simple interest = Principal × rate of interest × time period

= $2,000 × 11.5% × 5

= $1,150