Use Ordinary Interest

Short Answer

Use ordinary interest:
$$\begin{array} { | l | l | l | l | l | l | l | } \hline & \text { Interest } & \text { Date } & \text { Date } & & \text { Simple } & \text { Amount Paid } \\\text { Principal } & \text { Rate } & \text { Borrowed } & \text { Repaid } & \text { Time } & \text { Interest } & \text { Back } \\\hline \$ 8,000 & 12 \% & \text { May 5 } & \text { Aug 10 } & \text { A } & \text { B } & \text { C } \\\hline\end{array}$$