Question

Craig just purchased a new sports car. He financed $45,000 and must pay it back over 5 years with 11% interest.

How much will Craig have paid in interest by the time his car is paid off? (just put the numerical value, no $ sign)

Answer 1

Simple interest

i = P*t*t

i = 45000*0.11*5

i = 24750

Answer: 24750