Question: 1. How much interest would be due at the end of one year on a loan of BD10,000 if the simple interest is 12% per

1. How much interest would be due at the end of one year on a loan of BD10,000 if the simple interest is 12% per year? [5 marks]

2. What is the annual rate of interest on a BD1,000 loan in which all interest is paid at the end of each year, and a total of BD1,125 must be repaid at the end of the year? [5 marks] use simple interest

3. A student obtains a loan to pay one year of college tuition, which costs $18,000 with 6% which he promise to pay starting from August 1 until December 31, 2024 on the same year. What is the value of the exact simple interest and the total amount payable. [10]

4. If you had BD 2,000 now and invested at 10% interest compounded annually, how much would it be worth in eight years? [5]

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