Question

1. Mr. Adeb takes out an $8,000 personal loan to

restore his antique car. The bank loans him the
money at 4.5% simple interest for 4 years.
a. How much will Mr. Adeb pay in interest?
b. What is the total cost of the restoration
including the interest?
2.A $3,000 loan is taken out for 12% interest for 6
months. What is the amount of interest charged?
A. $36.00
B. $90.00
C. $180.00
D. $270.00
3. Attend to precision. Mr. and Mrs. Watson decide
to remodel their bathroom. They need a short term
loan. They borrow $3,200 from a local bank at an
interest rate of 11%. After receiving their income
tax return, they are able to pay off the loan after
only 9 months. How much interest did they pay on
i give 20 points

Answer 1

1. I = PRT
I = (8000)(0.045)(4)
I = 1440
(a) he pays 1440 in interest
(b) total cost including interest : 8000 + 1440 = 9440
=================
2. I = PRT
I = (3000)(0.12)(6/12)
I = 180 <===
=================
3. I = PRT
I = (3200)(0.11)(9/12)
I = 264 <===