Simple interest

Question

_{Find the total amount due on a loan of $10,000 at 9.5% simple interest at the end of 12 months.}

Answer 1

Simple Interest:  I = prt

I = interest = to be determined

r = rate as a decimal:  9.5% = 9.5/100 = 0.095

t = time ... 12 months = 1 year

 

I = 10,000(0.095)(1) = $950