Question

Vincent borrowed $500 from Mitchell for six months. How much interest will Mitchell earn if he charges Vincent a simple interest rate of 3 percent?

simple interest = P × r × t
$7.50
$15
$75

Answer 1

simple interest = P × r × t
Simple interest ?
P principle 500
R interest rate 0.03
T time 6/12

Simple interest=500×0.03×(6÷12)
Simple interest=7.5

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