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29 September, 09:59

A bank gives you a simple interest loan at a rate of 5.5%. after 3 years, you have paid 41.91 in interest. what was the original principal amount of your loan?

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  1. 29 September, 13:46
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    Simple interest equation:

    B = P + Prt

    where Prt is the Interest part.

    Prt = 41.91, r =.055, t = 3

    0.175P = 41.91

    P = 239.49
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