Question

How much will Pauline pay in interest if she takes out a simple interest loan with a principal of $3,900 at 7.2% for three years?

Answer 1

I = PRT

I = 3,900 * 0.072 * 3

Answer 2

0.26

Answer 3

[AI-generated answer — Explain Bot]

To find out how much Pauline will pay in interest for a simple interest loan, we can use the formula:

Interest = Principal x Rate x Time

First, let's convert the interest rate from a percentage to a decimal by dividing it by 100:
7.2% / 100 = 0.072

Now, we can plug in the values into the formula:

Interest = $3,900 x 0.072 x 3

Multiply:

Interest = $842.40

Therefore, Pauline will pay $842.40 in interest if she takes out a simple interest loan with a principal of $3,900 at a rate of 7.2% for three years.