A man borrows Tk. 2,000 and pays back after 3 years at 10% simple interest. The amount paid in total by the man is:

Question: A man borrows Tk. 2,000 and pays back after 3 years at 10% simple interest. The amount paid in total by the man is:

Solution:
Given that,
Principal (P) = Tk. 2,000
Time (n) = 3 years
Rate of interest (r) = 10%

We know the formula for simple interest,
I = Pnr/100
⇒ I = (2,000 × 3 × 10)/100
⇒ I = 600 Tk.

Total amount paid (Principal + Interest) = P + I
= 2,000 + 600
= 2,600 Tk.

∴ The total amount paid by the man is 2,600 Taka