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WAEC Mathematics 2016 Paper

Question : 8

Total: 49

What sum of money will amount to D10,400 in 5 years at 6% simple interest?

Solution:

Concept:

Simple interest is calculated on the original principal, and the amount is principal plus interest.

Explanation:

Let the principal be

P

Amount

A = D10{,}400

, Time

T = 5

years, Rate

R = 6\%

per annum.

Interest

I = A - P

, so

I = 10{,}400 - P

Using the simple interest formula:

I = \frac{P \times T \times R}{100}

10{,}400 - P = \frac{P \times 5 \times 6}{100}

10{,}400 - P = \frac{30P}{100}

Multiply both sides by

100

100(10{,}400 - P) = 30P

1{,}040{,}000 - 100P = 30P

1{,}040{,}000 = 130P

P = \frac{1{,}040{,}000}{130} = 8{,}000

Therefore, the required sum of money is D8,000.00.

Answer:

A. D8,000.00

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