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its $600 into an account that pays simple interest at a rate of 6% per year. How much interest will he be paid

its $600 into an account that pays simple interest at a rate of 6% per year. How much-example-1
User Orhun
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The simple interest formula is given by:


C=P\cdot r\cdot t

Where P is the initial investment, r is the annual interest rate, and t is the number of years. From the problem, we identify:


\begin{gathered} P=600 \\ r=0.06 \\ t=6 \end{gathered}

Then, in the simple interest formula:


\begin{gathered} C=600\cdot0.06\cdot6 \\ C=\text{ \$}216 \end{gathered}

Juan will pay $216 in interest for the first 6 years

User Goutham Ganesan
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