Question

Find the sime interest owed for the loan $5,100 at 10% for 1 year

Answer 1

Step 1: write out the formula

The simple interest on the loan can be calculated using the formula:

`\text{simple int}erest\text{ =}\frac{p\text{ x r x t}}{100}`

where p is the principal, in our case, it is the loan = $51000

r is the rate = 10%

t is the time = 1 year

Step2: substitute the values into the equation.

Our next step is to put the values of p, r, and t into the equation so that

`\text{simple interest =}\frac{51000\text{ x 10 x 1}}{100}=5100\text{ }`

Therefore, the simple interest on the loan is $5, 100