The policy of the broadway pawnshop is to lend up to 35% of the value of the borrowers collateral. John wants to use a $3000 ring in the $1200 necklace as collateral for a loan. what is the maximum amount that he could borrow from Broadway?
Given that can borrow up t 35% of his collateral at the pawnshop and John wants to use $3000 ring as a collateral for $1200 necklace, then the amount that he could borrow will be: 35/100×3000 =$1050
