Question

1. catalina borrows $860 to purchase a motorized scooter. she accepts a 12 - month payment plan with 9.25% interest. how much will catalina end up paying for the motorized scooter?

Explanation:

Step1: Calculate total interest

First, find the interest amount using simple interest formula $I = P \times r \times t$, where $P=\$860$, $r=9.25\%=0.0925$, $t=1$ year.
$I = 860 \times 0.0925 \times 1 = 79.55$

Step2: Add interest to principal

Add the calculated interest to the original borrowed amount to get total payment.
$\text{Total Payment} = 860 + 79.55$

Answer:

$\$939.55$