Answer:
She borrowed php4737.00.
Step-by-step explanation:
This is a simple interest problem.
The simple interest formula is given by:
[tex]E = P*I*t[/tex]
In which E is the amount of interest earned, P is the principal(the initial amount of money), I is the interest rate(yearly, as a decimal) and t is the time.
After t years, the total amount of money is:
[tex]T = E + P[/tex]
6% interest:
This means that [tex]I = 0.06[/tex]
19 months:
An year has 12 months, so [tex]t = \frac{19}{12} = 1.5833[/tex]
She paid an interest of php 450. How much money did she borrow
This is P when [tex]E = 450[/tex]. So
[tex]E = P*I*t[/tex]
[tex]450 = P*0.06*1.5833[/tex]
[tex]P = \frac{450}{0.06*1.5833}[/tex]
[tex]P = 4737[/tex]
She borrowed php4737.00.
