The annual rate of simple interest on money loaned is equal to the interest earned divided by the product of the principal and the time in years. What is the interest on a loan is when the annual rate is 8.5%, the principal is $4,100.00, and the time is 2 3/4 years.
To find the interest on a loan, we can use the formula:
Interest = Principal * Rate * Time
Given that the annual rate is 8.5%, the principal is $4,100.00, and the time is 2 3/4 years (or 11/4 years), we can plug in these values into the formula:
Interest = $4,100.00 * 8.5% * 11/4
First, let's convert the percentage rate to its decimal form:
8.5% = 8.5/100 = 0.085
Now, let's calculate the interest:
Interest = $4,100.00 * 0.085 * 11/4
= $4,100.00 * 0.085 * 11/4
= $3,117.63
Therefore, the interest on the loan is $3,117.63.
To calculate the interest on a loan, we can use the formula for simple interest:
Interest = (Principal * Rate * Time) / 100
Given:
Principal = $4,100.00
Rate = 8.5% = 8.5/100 = 0.085 (as a decimal)
Time = 2 3/4 years = 2.75 years
Now, substitute the given values into the formula:
Interest = (4100 * 0.085 * 2.75) / 100
Calculating the value inside the brackets:
4100 * 0.085 * 2.75 = 939.25
Now, divide by 100 to obtain the interest:
Interest = 939.25 / 100
Simplifying the division:
Interest = $9.3925
Therefore, the interest on the loan is $9.3925.
To find the interest on a loan, you can use the formula for simple interest:
Interest = (Principal * Rate * Time)
Where:
- Principal is the amount of money loaned.
- Rate is the annual rate of interest.
- Time is the duration of the loan in years.
In this case, the principal (P) is $4,100.00, the rate (R) is 8.5% (which needs to be converted to a decimal), and the time (T) is 2 3/4 years.
First, we convert the rate from a percentage to a decimal by dividing it by 100:
8.5% รท 100 = 0.085
Next, we convert the mixed number for the time to an improper fraction:
2 3/4 = (2 * 4 + 3) / 4 = 11/4
Now, we can substitute the values into the formula and calculate the interest:
Interest = (Principal * Rate * Time)
= ($4,100.00 * 0.085 * 11/4)
To simplify, we can multiply the numbers in the formula:
Interest = ($4,100.00 * 0.085 * 11)/(4)
Calculating the numerator:
$4,100.00 * 0.085 * 11 = $3,668.50
Now, we substitute the value of the numerator into the formula:
Interest = ($3,668.50) / (4)
Finally, we can divide the numerator by the denominator to calculate the interest on the loan:
Interest = $3,668.50 / 4 = $917.125
Therefore, the interest on the loan is $917.125.