Question

Joe borrowed $900 from Sam for six months. How much will Sam earn if he charges Joe a simple interest rate of 4 percent?

Answer 1

simple interest
you can charge it monthly or yearly

find 4% and multiply by how many months or years
4% of 900=
0.04 times 900=36
that is each time the interst is added

if it is monthly, (6months so ) 6 times 36=216
if it is yearly (6months=1/2year so )6 times 1/2=3


if it is taken monthly, then Sam earns $216
if it is taken yearly, then Sam earns $3

Answer 2

Sam would earn $18.00 from Joe.

Explanation:

Joe borrowed $900 from Sam for six months. Sam charges simple interest at the rate of 4%.

In this question we have to find out Interest for 6 months with this formula.

I = Prt

I = Interest

P = Principal ( $900 )

r = rate of interest ( 4% ) in decimal

t = time in years. (1/2 yrs.)

first we convert 4% in decimal form.

4% =
`(4)/(100)` = 0.04

I = 900 × 0.04 ×
`(1)/(2)`

I = 36 ×
`(1)/(2)`

I = $18.00

Sam would earn $18.00 from Joe.