Musa borrows N10.00 at 2% per month simple interest and repays N8.00 after 4 months. How much does he still owe?
A
N10.80
B
N10.67
C
N2.80
D
N2.67
Verified Correct Answer: C.
Step-by-Step Mathematical Solution
I = \(\frac{PRT}{100}\)
= \(\frac{10 \times 2 \times 4}{100}\)
= \(\frac{4}{5}\)
= 0.8
Total amount = N10.80
He pays N8.00
Remainder = 10.80 - 8.00
= N2.80
Source: WAEC / JAMB / NECO Classroom Archive (Record #60707)