if you borrow $1,500 for 5 years at an annual interest rate of 5%, what is the total amount of money you…

Explanation:

Step1: Calculate the simple - interest

The simple - interest formula is $I = Prt$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the time in years. Given $P=$1500$, $r = 0.05$ (since $5%=0.05$), and $t = 5$ years. $I=1500\times0.05\times5$ $I = 1500\times0.25$ $I = 375$

Step2: Calculate the total amount to be paid back

The total amount $A$ to be paid back is the sum of the principal $P$ and the interest $I$. $A=P + I$ $A=1500+375$ $A = 1875$

Answer:

$1875$