Calculate the simple intrest on a $100,000 investment at an invest rate of 12 percent a year after 6 months
To calculate the simple interest on a $100,000 investment at a 12 percent annual interest rate after 6 months, we need to find the interest for half a year (6 months). We can use the formula for simple interest:
Interest = Principal × Rate × Time
Given:
Principal = $100,000
Rate = 12% per year
Time = 6 months (0.5 years)
Plug in the values into the formula:
Interest = $100,000 × 0.12 × 0.5
Simplifying the expression:
Interest = $6,000
Therefore, the simple interest earned on a $100,000 investment at a 12% annual interest rate after 6 months is $6,000.