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Suppose susan borrows $2500 at an interest rate of 11% compounded each year. assume that no payments are made on the loan.

User Evermean
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Final answer:

The total amount of interest from a $5,000 loan after three years with a simple interest rate of 6% is $900.

Step-by-step explanation:

To calculate the total amount of interest, we need to use the formula:

Total Interest = Principal × Rate × Time

Given that the principal is $5,000, the rate is 6%, and the time is 3 years, we can plug in these values to find:

Total Interest = $5,000 × 0.06 × 3 = $900

Therefore, the total amount of interest from a $5,000 loan after three years with a simple interest rate of 6% is $900.

User Nick Vaccaro
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