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rosijanka [135]
3 years ago
8

Andrew has a four-year college loan for $20,000. The lender charges a simple interest rate of 5 percent. How much interest will

he have to pay? simple interest = P × r × t
a. $800
b. $4,000
c. $10,000
Mathematics
2 answers:
Olegator [25]3 years ago
7 0

Given that loan amount P=20000

Interest rate r=5% = 0.05

Time of loan t=4 years

Now to find the interest amount we just plug those values into formula

simple interest = P × r × t

simple interest = 20000* 0.05* 4

simple interest = 1000 * 4

simple interest = 4000

Hence final answer is choice b. $4000.

Bess [88]3 years ago
7 0

Letra A Pois 5% De 20.000 É $ 800

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