Question

A friend ask to borrow 500 dolllars and agree to repay in 90 days with 4% interest how much interest will you earn?

Answer 1

$\begin{gathered} 4\text{ \%=0.04} \\ Interest\text{ = (500 dollars)}\cdot(0.04) \\ Interest\text{ = 20 dollars} \\ \text{You will earn 20 dollars as interest} \end{gathered}$