Dominick borrowed $6,000 from a credit union at 9% simple interest for 30 months. What is the total amount of interest Dominick

Question

2 years ago

14

will pay throughout the life of the loan?

1 answer:

dexar [7] · Answer 1 · 2023-06-10T13:08:52+03:00

The total amount of interest Dominick will pay throughout the life of the loan is $1350

<h3>What is Simple Interest ?</h3>

Simple Interest is the interest applied only on the Principal amount invested or borrowed .

It is calculated by the formula

I = ( P * R * T ) /100

P is the Principal

R is the Rate of Interest

T is the Time Period

Here

P = $ 6000

R= 9 %

T = 30 months = 30/12 year = 2.5 years

I = ( 6000 * 9 * 2.5 ) / 100

Interest = $1350

Therefore , the total amount of interest Dominick will pay throughout the life of the loan is $1350

To know more about Simple Interest

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