lesson = simple interest question 6 of 13 calculate the simple interest on a loan of $2,000 for 6 months at…
lesson = simple interest question 6 of 13 calculate the simple interest on a loan of $2,000 for 6 months at 9% per annum. $90 $80 $24 $900
Answer
Explanation:
Step1: Recall simple interest formula
The formula for simple interest is ( I = P \times r \times t ), where ( I ) is the simple interest, ( P ) is the principal amount, ( r ) is the annual interest rate (in decimal), and ( t ) is the time in years.
Step2: Convert time to years
The time is 6 months. Since 1 year = 12 months, ( t=\frac{6}{12} = 0.5 ) years.
Step3: Convert rate to decimal
The annual interest rate ( r = 9%=0.09 ).
Step4: Substitute values into formula
Given ( P = 2000 ), ( r = 0.09 ), and ( t = 0.5 ). Substitute into ( I = P\times r\times t ): ( I=2000\times0.09\times0.5 ) First, calculate ( 2000\times0.09 = 180 ), then ( 180\times0.5 = 90 ).