Question

What would be the simple interest on an amount of $1000 at 4% interest?

A. $30

B. $60

C $50

D$40

Answer 1

$40.

Explanation:

This is the way I found the answer:

1. 4 ÷ 100 = 0.04

2. 0.04 x $1,000 = $40

Therefore, $40 is our answer.