Question

HELP ASAP!! Two customers took out loans from a bank. • Henry took out a 4-year loan for $5,000 and paid 4.2% annual simple interest. • Ingrid took out a 6-year loan for $5,000 and paid 3.9% annual simple interest. What is the difference between the amounts of interest Henry and Ingrid paid for their loans? A) $417 B) $150 C) $60 D) $330

Answer 1

Answer: option D is the correct answer.

Step-by-step explanation:

The formula for determining simple interest is expressed as

I = PRT/100

Where

I represents interest paid on the loan.

P represents the principal or amount taken as loan

R represents interest rate

T represents the duration of the loan in years.

Considering Henry's loan,

P = 5000

R = 4.2

T = 4 years

I = (5000 × 4.2 × 4)/100 = $840

Considering Ingrid's loan,

P = 5000

R = 3.9

T = 6 years

I = (5000 × 3.9 × 6)/100 = $1170

The difference between the amounts of interest Henry and Ingrid paid for their loans is

1170 - 840 = $330

Answer 2

Answer:

D

Step-by-step explanation:

4.2 precent of 5000 is 210. You multiply that by the year (4) because he paid 4.2 of 5000 anually. If you multiply that the answer should be 840.

3.9 precent of 5000 is 195. If you multiply that again by 6 (the year) because he paid 3.9 of 5000 anually. If you multiply that your answer should be 1170.

Now after all that subtract. 1170-840= 330