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What is the simple interest for a $4500 loan after 16 years if the interest rate is 11%?​

1 Answer

12 votes

Answer:

A = $12,420.00

Step-by-step explanation:

First, converting R percent to r a decimal

r = R/100 = 11%/100 = 0.11 per year.

Solving our equation:

A = 4500(1 + (0.11 × 16)) = 12420

A = $12,420.00

The total amount accrued, principal plus interest, from simple interest on a principal of $4,500.00 at a rate of 11% per year for 16 years is $12,420.00.

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