Question

How much interest will be paid in 1 year for a loan of $2500 at 9 1/2% simple interest?

Answer 1

do you know the formula?

Answer 2

can you identify the principal and the interest rate?

Answer 3

Interest = Principle * rate * time ..... I = PRT
P = 2500
R = 9 1/2 % = 9.5% = 0.095
T = 1
Now we sub into the formula
I = (2500)(0.095)(1)
now just multiply and what do you get ?

Answer 4

237.5

Answer 5

that's correct...add that number to the original number to get the total .:

Answer 6

237.5+2500=2,737.5