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How much interest will accrue in 1 year if you take out a $4,000 subsidized student loan and you are a full-time student? Assume an interest rate of 3%.

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Final answer:

The interest that will accrue in 1 year on a $4,000 subsidized student loan with a 3% interest rate is $120.

Step-by-step explanation:

To calculate the amount of interest that will accrue in 1 year on a subsidized student loan, we need to use the formula:

Interest = Principal * InterestRate * Time

The principal is $4,000, the interest rate is 3%, and the time is 1 year. Plugging these values into the formula, we get:

Interest = $4,000 * 0.03 * 1 = $120

So, the interest that will accrue in 1 year on a $4,000 subsidized student loan with a 3% interest rate is $120.

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