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Jamal borrowed $625 from his brother 8 years ago. Jamal repaid his brother in full with $830. What simple annual interest rate did Jamel pay?

A) 4.0%

B) 4.1%

C)4.2%

D) 4.3%

Answer :

ldwill2005
Hello!
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The answer is B, 4.1%.
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WORK: 625*0.041*8=205+625=830
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Hope this helps and have a great day!

If Jamal borrowed $625 from his brother for 8 years and later paid $830 then he must have taken it at the simple rate of 4.1%.

What is simple rate of interest?

The interest which is not calculated on the aggregate interest or which is calculated only on principal amount is known as simple interest.

How to determine rate of interest?

The principal amount is $625 and the number of years is 8 and we have to find the rate of interest.

The amount which is ultimately paid is equal to principal and interest. So,

830=625+625*r/100*8

830-625=625*r/100*8

205=625*r/100*8

205*100/625*8=r

20500/5000=r

r=4.1%

Hence if the principal amount is $625 and the amount lastly paid is $830 then the rate of interest is 4.1% which is option B.

Learn more about interest at https://brainly.com/question/16134508

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