Question

Find the simple intrest on a 12000 loan with 3.9 intres for 60 mounths

Answer 1

$2,340

Explanation:

Simple interest is calculated using the formula: I = prt, where I = simple interest, p = principle amount, r = interest rate and t = time in years. Since the initial, or principle amount is $12,000, the interest rate is 3.9% (0.039) and the time is 60 months, or 5 years (60/12 = 5), we can put these values into the formula and solve for 'I':

I = (12,000)(0.039)(5) = $2,340