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1 October, 19:01

3 years ago clear borrowed money from her father to pay for a class trip she agreed to pay 6% simple annual interest on the loan now she owes him $90 an interest plus the principal amount how much did Claire borrow?

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  1. 1 October, 19:27
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    The principal amount was $500.

    Step-by-step explanation:

    Simple (non-compound) interest $90 for three years means $30 for 1 year.

    Knowing the interest amount for one year and the interest rate 0.06 (6%) we can determine the principal from:

    (interest) = (principal) x (interest rate)

    $30 = (principal) x 0.06

    => (principal) = $30 / 0.06 = $500
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