Simple interest on a bank loan can be calculated by multiplying the principal times the interest rate times the time. In the for
mula I = p r t, what does I stand for? a. time c. principal b. interest rate d. simple interest Please select the best answer from the choices provided
Simple interest rate is defined as: I = p * r * t. So you're taking the principle amount (initial amount loaned) and multiply it by the interest rate. This gives you the interest rate in a year (usually, depends on time unit of t). Generally speaking, it gives you the interest over a specific amount of time. Now multiply it by the amount of time that's passed. So you're just calculating the total amount of interest. So the I stands for the simple interest.
