Answer:
$138,666.45
Step-by-step explanation:
I = Prt, where
I = simplest interest = $87, 495
r = anual rate = 8.355% = 0.08355
t = time = 7 years
I = 87,495 * 0.08355 *7 = 51,171.45075 ≈ $51, 171.45
What is the total amount that must be repaid?
The money they have to be returned are the borrowed P, and the interest I.
P +I = 87,495 + 51, 171.45 = $138,666.45
