Question

What is the simple interest on $360 borrowed for 30 months at 12.3%

Answer 1

Keeping in mind that there are 12 months in a year, therefore, 30 months is really 30/12 years,

$\bf ~~~~~~ \textit{Simple Interest Earned}\\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\\ P=\textit{original amount deposited}\to& \ 360\\ r=rate\to 12.3\%\to \frac{12.3}{100}\to &0.123\\ t=years\to \frac{30}{12}\to &\frac{15}{6} \end{cases} \\\\\\ I=(360)(0.123)\left( \frac{15}{6} \right)\implies I=110.7$