# Mrs. Simon applied a loan of P50,000 at a yearly interest of 10%. If she paid back the credit union of P65,000, what is the time period of her loan?

2
by sairagwyneth

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by sairagwyneth

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50 000 × .10 (10%) = 5 000

Then...

65 000 - 50 000 = 15 000

Then...

15 000 ÷ 5 000 = 3

Therefore, the answer to your question is

Interest = Principal x Rate x Time

I = P × R × T

Given:

Interest = Gross Amount Paid - Principal Loan

= 65,000 - 50,000

= 15,000

Principal = 50,000

Rate = 10% or 0.10

Time = ?

Equation:

I = P × R × T

15,000 = (50,000) (0.10) (T)

15,000 = 5,000 (T)

T = 3