Answer:
91 days
Step-by-step explanation:
Amount loaned = $10,000.
Interest rate = 5%
Paula received $125 as interest .
Since, the interest rate is 5% , One has to pay the 5% of total amount loaned in a year.
in a year , he has to pay [tex]\frac{5}{100}[/tex]×10,000 = $500.
But he paid $125 as interest , So,
Length of loan period = [tex]\frac{125}{500}[/tex] Year = [tex]\frac{1}{4}[/tex]th Year
= 3 months
Thus, he paid the amount in 91 days. (Since one month will surely be of 31 days)
