Frans paid R9600 as interest on a loan he took 5 years ago at 16% rate. What’s was the amount he took as loan?

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1. Answer:

         The amount he took as loan = R12,000

   Step-by-step explanation:

   Simple Interest

   Let loan amount be = P

   R = 16%

   T = 5years

   I = 9600

   Find P

     [tex]I = \frac{PRT}{100}\\\\9600 = \frac{P \times 16 \times 5}{100}\\\\P = \frac{9600 \times 100}{16 \times 5} = 12,000[/tex]

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2. Step-by-step explanation:

   Interest (I)=R9600

   Rate(R)=16%

   Time (T)=5years

   Principal (P)=?

   P=100×I÷R×T

   P=100×R9600÷16×5

   P=R960000÷80

   P=R12, 000

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