A man borrows \(N 400,000\) to a buy a machine at a simple interest rate of \(3 \%\). Find the amount required to repay the loan at the end of 2 years
A. N424,000 B. N409,000 C. N412,000 D. N4418,000 Correct Answer: AExplanation\begin{aligned} \mathrm{I} &=\frac{\text { PKT }}{100} \\ &=\frac{\mathrm{N} 400,000 \times 3 \times 2}{100} \\ &=\mathrm{N} 24,000 \\ \text { Amount } &=\text { Principal }+\text { Interest } \\ &=\mathrm{N} 400,000+\mathrm{N} 24,000 \\ &=\mathrm{N} 424,000 \end{aligned}
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