Question

Dr. Kora borrowed $8000 to purchase new medical equipment for her new office . If she paid 7.5% simple interest for 10 years. How much interest will she pay?

Answer 1

Answer:

Dr. Kora will pay an interest of $6,000

Step-by-step explanation:

Simple interest = P × R × T

Where:

P = Principal = $8000

R = Rate = 7.5% = 0.075

T = Time = 10 years

∴ Simple interest = 8000 × 0.075 × 10 = $6,000

Therefore Dr. Kora will pay an interest of $6,000