Question

How much is the interest on my loan?

Answer 1

Answer:  The interest is:  " $ 64 .00 " .

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Step-by-step explanation:

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Take note of the formula:

" Ⅰ = Prt " ;

→ that is:

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→   " Ⅰ = P * r * t " ;

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In which:  

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 " Ⅰ = the interest " ;

 " P = the Principal amount of money " ;

 " r = rate " (expressed as the "decimal form" of the percentage) ;

 " t = time " (in years) ;

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We are given:  

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 P = $400 ;

 r = 0.08 ;  

{Note of interest:  That is " 8% " ; since "8 % "  = "(8/100)" ;

                                                                          = "(8 ÷ 100)"

                                                                          = " 0.08 ".}.

 t = 2 ; {that would represent:  " 2 (two) years".}.

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We are to solve for "Ⅰ" ; the amount of "Ⅰnterest" :

→ To solve for "Ⅰ " ; we plug in our given values; and calculate:

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  →  Ⅰ = P * r * t ;

        = 400 * 0.08 * 2 ;

        = 64 .

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  →  Ⅰ = $ 64.00 .

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Hope this is helpful to you!

Best wishes!

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