question 10 (1 point) if the amount payable in two years is $2420 for a simple loan at 10 percent interest…

Explanation:

Step1: Recall simple - interest formula

The formula for the future value $A$ of a simple - interest loan is $A = P(1+rt)$, where $A$ is the amount payable after $t$ years, $P$ is the principal (loan amount), $r$ is the annual interest rate, and $t$ is the number of years. We are given that $A=$2420$, $r = 0.1$ (since 10%=0.1), and $t = 2$. We need to solve for $P$.

Step2: Rearrange the formula to solve for $P$

Starting with $A = P(1+rt)$, we can rewrite it as $P=\frac{A}{1 + rt}$.

Step3: Substitute the given values

Substitute $A = 2420$, $r=0.1$, and $t = 2$ into the formula: $P=\frac{2420}{1+0.1\times2}=\frac{2420}{1 + 0.2}=\frac{2420}{1.2}=2000$.

Answer:

$2000$