The principal P is borrowed at a simple internet rate for a period of time t. Find the loans future value A, or the total amount due at time t.
P= $3000 r=0.03 t= 2years
To find the future value, you can use the following formula for simple interest:
A = P(1 + rt)
where:
A = future value
P = principal
r = interest rate
t = time in years
Substituting the given values into the formula:
A = 3000(1 + 0.03 * 2)
A = 3000(1 + 0.06)
A = 3000(1.06)
A = $3180
Therefore, the total amount due at the end of 2 years is $3,180.