the simple interest on a loan of $200 at 10 percent interest per year is\n$10 per year until the loan is…

the simple interest on a loan of $200 at 10 percent interest per year is\n$10 per year until the loan is paid off.\n$15 per year until the loan is paid off.\n$20 per year until the loan is paid off.\n$25 per year until the loan is paid off.

the simple interest on a loan of $200 at 10 percent interest per year is\n$10 per year until the loan is paid off.\n$15 per year until the loan is paid off.\n$20 per year until the loan is paid off.\n$25 per year until the loan is paid off.

Answer

Explanation:

Step1: Recall the simple - interest formula

The simple - interest formula is (I = Prt), where (I) is the interest, (P) is the principal amount, (r) is the annual interest rate (in decimal form), and (t) is the time in years.

Step2: Identify the values of (P), (r), and (t) for annual interest

Given (P=$200), (r = 10%=0.1), and (t = 1) year (to find the annual interest).

Step3: Calculate the simple interest

Substitute the values into the formula: (I=Prt). [ \begin{align*} I&=200\times0.1\times1\ &=20 \end{align*} ]

Answer:

($20) per year until the loan is paid off.