Mathematics 2022 JAMB Past Questions - Question 19: Musa borrows #10.00 at 2% per month interest and repays #8.00 after 4 months. However much does he still owe?

Correct Answer

C

Explanation

To calculate how much Musa still owes after borrowing #10.00 at 2% per month interest and repaying #8.00 after 4 months, we need to determine the interest accumulated over the 4-month period.The interest accrued can be calculated using the formula:Interest = Principal * Rate * TimeIn this case, the principal (P) is #10.00, the rate (R) is 2% (or 0.02 as a decimal), and the time (T) is 4 months.Interest = #10.00 * 0.02 * 4 = #0.80Therefore, the interest accrued over the 4-month period is #0.80.To find the amount Musa still owes, we subtract the amount repaid from the initial loan amount:Amount still owed = Loan amount - Amount repaid                = #10.00 - #8.00                = #2.00Therefore, Musa still owes #2.00.