Ken borrowed $6,000 for 4 years at a rate of 7% simple interest per year. How much interest will Ken have to pay after paying back the borrowed amount?

Question

I'm confused on how simple interest works and I need some explanation on how to solve this problem. 

Answer 1

simple Interest= PRT

 

here

 

P=Principal = 6000

R=rate of interest=7%=0.07

T=no. of year = 4

 

Simple interest = 6000*0.07*4  =$ 1680