jerry borrowed $4,000 for 5 years at 6% simpl...
jerry borrowed $4,000 for 5 years at 6% simple interest rate. how much interest is that? $1,500 $1,200 $1,000 $800
Answer
# Explanation:
## Step1: Identify simple - interest formula
The formula for simple interest is $I = Prt$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the time in years.
## Step2: Convert the interest rate to decimal
The annual interest rate $r = 6\%=0.06$. The principal amount $P = 4000$ and the time $t = 5$ years.
## Step3: Substitute values into the formula
$I=Prt=4000\times0.06\times5$.
$I = 4000\times0.3$.
$I = 1200$.
# Answer:
B. $1,200