Question

Glenda borrowed $4,500 at a simple interest rate of 7% for 3 years to

buy a car. How much simple interest did Glenda pay?

Answer 1

Answer: I = $ 1,102.50

Step-by-step explanation: First, converting R percent to r a decimal

r = R/100 = 7%/100 = 0.07 per year,

then, solving our equation

I = 4500 × 0.07 × 3.5 = 1102.5

I = $ 1,102.50

The simple interest accumulated

on a principal of $ 4,500.00

at a rate of 7% per year

for 3.5 years is $ 1,102.50.