Answer:
Interest=$3600
Explanation:
I = P * r * x * t
Where:
P is the principal amount, $12000.00.
r is the interest rate, 5% per year, or in decimal form, 5/100=0.05.
t is the time involved, 6....year(s) time periods.
So, t is 6....year time periods.
To find the simple interest, we multiply 12000 × 0.05 × 6 to get that:
The interest is: $3600.00
Usually now, the interest is added onto the principal to figure some new amount after 6 year(s),
or 12000.00 + 3600.00 = 15600.00. For example:
If you borrowed the $12000.00, you would now owe $15600.00
If you loaned someone $12000.00, you would now be due $15600.00
If owned something, like a $12000.00 bond, it would be worth $15600.00 now.