Answer: (3000)*(0.09)*(4) = $1,080.00
Step-by-step explanation:
When money is borrowed, interest is charged for the use of that money over a certain period of time. The amount of interest charged depends on the amount of money borrowed, the interest rate and the length of time for which the money is borrowed.
Principal is the amount of money borrowed. The interest rate is given as a percent. Time is the length of time in years for which the money was borrowed.
Interest = Principal * Rate * Time which is also written as I = P*R*T
Principal = $3,000, Interest rate = 0.09 and Time = 4
Raquel had to pay back $3,000 in principal plus $1,080 in interest for a total of $4,080.00
(3000)*(0.09)*(4) = $1,080.00
