Calculate the interest and the total amount.
a)a loan of $1750 at a 4.8% for over five years.
b)an investment of 1500 at 3% per year over three years.
1750 x 0.048 x 5 = 420
420
Interest = principal times rate times time
I = 1750 * 0.048 * 5
Do the second problem the same way.
I'll be glad to check your answers.
a) To calculate the interest and total amount for a loan of $1750 at 4.8% for over five years, we need to use the formula for simple interest. The formula is: Interest = Principal * Rate * Time.
1. Calculate the interest:
Interest = $1750 * 0.048 * 5
Interest = $420
2. Calculate the total amount:
Total Amount = Principal + Interest
Total Amount = $1750 + $420
Total Amount = $2170
Therefore, the interest on the loan is $420 and the total amount to be repaid is $2170.
b) To calculate the interest and total amount for an investment of $1500 at 3% per year over three years, we again use the formula for simple interest.
1. Calculate the interest:
Interest = Principal * Rate * Time
Interest = $1500 * 0.03 * 3
Interest = $135
2. Calculate the total amount:
Total Amount = Principal + Interest
Total Amount = $1500 + $135
Total Amount = $1635
So, the interest on the investment is $135 and the total amount after three years is $1635.