Question

Ethan borrowed $2,190 for a new dirt bike. He will pay the money back in 3 years with a simple interest rate of 2.5%. How much interest will he pay?

Answer 1

Answer:

The interest ethan will pay is $164.25

Step-by-step explanation:

To calculate the interest paid by ethan on the borrowed bike using the formula.

Simple Interest = Principal * rate * time/100

Principal =  $2,190, rate = 2.5%, time = 3years

On substitution

SI = $\frac{2190*3*2.5}{100}$

$SI = \frac{16,425}{100}\\ SI= 164.25$

The interest ethan will pay is $164.25