03-02-2016
Mathematics

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Victor borrowed money at 5.25 percent simple annual interest. At the end of the year, the interest on the loan is $255.94. What was the amount of the loan?

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03-02-2016

You can write it as an algebraic equation:

p x 5.25% x 1 = 255.94
p x 0.0525 x 1 = 255.94
p x 0.0525 = 255.94
p x 0.0525/0.0525 = 255.94/0.0525
p = 4875.04

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