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

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

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

Answer

Explanation:

Step1: Recall simple - interest formula

The simple - interest formula 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. Here, $P=$200$, $r = 10%=0.1$, and $t = 1$ year.

Step2: Calculate the simple interest

Substitute the values into the formula: $I=Prt=200\times0.1\times1$. $I = 20$.

Answer:

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