Question

Q1 - Finding simple interest

Find the simple interest on a loan of:
£7500 borrowed for 6 years at a
rate of 12% p.a.
interest = £

Answer 1

£ 5400

Explanation:

P = £ 7500

r = 12% = 0.12

t = 6 years

Simple Interest = P*r*t

= 7500 * 0.12 * 6

= £ 5400