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Asmaa borrowed 3000 for car repairs simple interest rate of 8%. She repaid the loan in 2 yrs and paid Blank 1

dollars in interest on the loan
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1 Answer

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Answer: $480.

Step-by-step explanation: To find the amount Asmaa paid in interest on the loan, we need to consider the principal amount, the interest rate, and the loan duration.

Given:

- Principal amount borrowed: $3,000

- Simple interest rate: 8%

- Loan duration: 2 years

1. Calculate the interest amount:

To find the interest amount, we use the simple interest formula:

Interest = Principal * Rate * Time

In this case:

Principal = $3,000

Rate = 8% (expressed as a decimal: 0.08)

Time = 2 years

Plugging in the values:

Interest = $3,000 * 0.08 * 2

Calculating further:

Interest = $480

Therefore, Asmaa paid $480 in interest on the loan.

Hence, the amount paid in interest on the loan is $480.

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