Respuesta :
Answer: David would be paying 200.00 per year
Step-by-step explanation:
All you really have to do is just multiply 2,500 to .08 then once when you get your answer then you shift your decimal 2 places to the left.
Answer:
$2700.
Step-by-step explanation:
We have been given that David borrowed $2,500 from his local bank. The yearly interest rate is 8%.
To find the total money paid by David to bank, we will use simple interest formula.
[tex]A=P(1+rt)[/tex], where,
A = Amount after t years,
P = Principal amount,
r = Annual interest rate in decimal form,
t = Time in years.
Let us convert our given rate in decimal as:
[tex]8\%=\frac{8}{100}=0.08[/tex]
[tex]A=\$2500(1+0.08*1)[/tex]
[tex]A=\$2500(1+0.08)[/tex]
[tex]A=\$2500(1.08)[/tex]
[tex]A=\$2700[/tex]
Therefore, David will pay $2700 to the bank.
