Thinking Mathematically (6th Edition)

Published by Pearson
ISBN 10: 0321867327
ISBN 13: 978-0-32186-732-2

Chapter 8 - Personal Finance - 8.3 Simple Interest - Exercise Set 8.3: 39

Answer

To calculate simple interest, we multiply the present value by the interest rate and the number of years.

Work Step by Step

With simple interest, this is the formula we use to calculate the amount of interest, $I$. $I = P~r~t$ $P$ is the present value $r$ is the interest rate $t$ is the number of years To calculate simple interest, we multiply the present value by the interest rate and the number of years.
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.