Question

The principle P is borrowed at a simple interest rate r for a period of time t. Find the simple interest owed for the use of the money. Assume 360 days in a yr and round answers to the nearest cent.
p=$1000 r=1.5% t=15 mths

Answer 1

The formula for simple interest is: \[I=Prt\]Where P is the principal, r is the rate and t is the time in years.

For this problem, it will be:\[I=($1000)(0.015)(1+\frac{90}{360})=?\]