Determine the accrued interest amount of a $5,000 student loan with a simple interest rate of 5.4% over a period of 8 years. Round the answer to two decimal places as needed.(1 point)
The accrued interest amount is $
.
The accrued interest amount can be calculated using the formula:
Accrued Interest = Principal x Rate x Time
Plugging in the given values:
Principal = $5,000
Rate = 5.4% = 0.054
Time = 8 years
Accrued Interest = $5,000 x 0.054 x 8 = $2,160
So, the accrued interest amount is $2,160.