Jezreel Borrowed Php 250,000 From A Bank At 6% Discount Rate. How Much Would He Received From The Bank If He Agreed To Pay The The Amount After 5 Year

Jezreel borrowed php 250,000 from a bank at 6% discount rate. How much would he received from the bank if he agreed to pay the the amount after 5 years?

 

Simple Interest

Quick and easy method of calculating the interest charge on a loan. Determined by multiplying the daily interest rate by the principal by the number of days that elapse between payments. This type of interest usually applies to automobile loans. Even short - term loans. Benefits consumers who pay their loans on time or early each month.

Answer:

Jezreel would receive ₱175,000 if he agreed to pay the loaned amount of  ₱250,000 after 5 years.

Solutions:

Given: ₱250,000 - amount borrowed from the bank

           6% - discount rate

           5 years - duration of the loan

Solve for the interest.

I = Prt

I =  ₱250,000 x 6% x 5

I =  ₱250,000 x .06 x 5

I =  ₱250,000 x .30

I =  ₱75,000

Given the interest is  ₱75,000, find the amount that Jezreel would receive from the bank.

P - I = Amount Jezreel would receive from the bank

₱250,000 -  ₱75,000 =  ₱175,000

What is simple interest and example: brainly.ph/question/8974274

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