i am trying to figure out how much in interest would u have paid out on 18,000$ if u paid it out over five yrs at 11%
I = PRT
I = 18,000 * 0.11 * 5
I = ?
9900
To calculate the amount of interest you would have paid out on $18,000 over five years at an 11% interest rate, you can use the formula for simple interest:
Interest = Principal * Rate * Time
Here's how you can apply the formula to your question:
1. Convert the interest rate from a percentage to a decimal by dividing it by 100. In this case, 11% becomes 0.11.
2. Determine the principal amount, which is $18,000.
3. Calculate the interest by multiplying the principal, interest rate, and time. You mentioned a time period of five years.
Interest = $18,000 * 0.11 * 5
4. Calculate the final answer using a calculator:
Interest = $18,000 * 0.11 * 5 = $9,900
Therefore, you would have paid out $9,900 in interest over five years on a $18,000 loan with an 11% interest rate.