Tau has taken a personal loan of K5200 for 2 years at a simple interest rate of 12.5% per annum. How much interest will he pay?
To calculate the interest Tau will pay, we can use the simple interest formula:
Interest = Principal * Rate * Time
Here, the principal (P) is K5200, the rate (R) is 12.5%, and the time (T) is 2 years.
So, the interest Tau will pay is:
Interest = 5200 * 12.5/100 * 2
Interest = 1300 * 2
Interest = K2600
Therefore, Tau will pay a total interest of K2600.
To calculate the interest Tau will pay on his loan, we can use the formula:
Interest = Principal * Rate * Time
where:
Principal = K5200 (loan amount)
Rate = 12.5% per annum (0.125)
Time = 2 years
Substituting the values into the formula:
Interest = K5200 * 0.125 * 2
Calculating:
Interest = K1300
Therefore, Tau will pay K1300 in interest.
To calculate the interest Tau will pay on a personal loan, we can use the formula:
Interest = Principal × Rate × Time
Given information in the question:
Principal (P) = K5200
Rate (R) = 12.5% per annum
Time (T) = 2 years
First, convert the rate from a percentage to its decimal form:
Rate (R) = 12.5% = 12.5/100 = 0.125
Now we can substitute the values into the formula:
Interest = K5200 × 0.125 × 2
Calculating this, we have:
Interest = K1300
Therefore, Tau will pay K1300 as interest on the personal loan.