Tonya took out a loan to help pay for her house. She borrowed $60,000 for 15 years at a yearly simple interest rate of 5%. How much interest will she end up paying the bank?

If she waits till the term is up, then 60000*1.06^15

If she makes monthly payments, then use your loan amortization formula to find the amount, then multiply by 180.

To determine the amount of interest Tonya will end up paying the bank, you need to calculate the simple interest using the formula:

Interest = Principal × Rate × Time

Where:
- Principal refers to the amount borrowed ($60,000 in this case)
- Rate is the annual interest rate (5% in this case)
- Time is the loan term in years (15 years in this case)

Let's plug in the values into the formula:

Interest = $60,000 × 0.05 × 15

Calculating this expression:

Interest = $60,000 × 0.75

Interest = $45,000

Therefore, Tonya will end up paying $45,000 in interest to the bank over the course of the loan.

I = Po *r *t = 50000 * 0.05 * 15 =