Calculate the simple interest on a $100,000 investment at an
interest rate of 12 percent a year after 6 months.
To calculate the simple interest, we use the formula:
Simple Interest = Principal x Rate x Time
Given:
Principal = $100,000
Rate = 12% = 0.12 (in decimal form)
Time = 6 months = 0.5 years
Simple Interest = $100,000 x 0.12 x 0.5
= $6000
Therefore, the simple interest on a $100,000 investment at a 12% interest rate for 6 months is $6,000.