Question

Hector needs to borrow $20000 to pay a contractor for a home addition. The bank is offering him a 4.8% simple interest loan and is charging $4800 in interest during the life of the loan. How long is the life of the loan?

Answer 1

Simple interest equation:
I = Prt
where
I = interest = $4800
P = principal amount = $20,000
r = rate = 4.8% = 0.048
t = time = unknown

Plug everything into the equation and solve for t.

Answer 2

thank you :)

Answer 3

wlcm