2. jameson is seeking a loan with a simple interest rate of 3% per year. if he wants to borrow $8,000, then…

2. jameson is seeking a loan with a simple interest rate of 3% per year. if he wants to borrow $8,000, then how much will he be charged in interest after 4 years? f. $1,280.00 g. $960.00 h. $240.00 j. $9,600.00

2. jameson is seeking a loan with a simple interest rate of 3% per year. if he wants to borrow $8,000, then how much will he be charged in interest after 4 years? f. $1,280.00 g. $960.00 h. $240.00 j. $9,600.00

Answer

Explanation:

Step1: Identify the simple - interest formula

The formula for simple interest is $I = Prt$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the time in years.

Step2: Convert the interest rate to decimal

The annual interest rate $r = 3%=0.03$. The principal amount $P=$8000$ and the time $t = 4$ years.

Step3: Substitute values into the formula

$I=Prt=8000\times0.03\times4$. First, $8000\times0.03 = 240$. Then, $240\times4=960$.

Answer:

G. $$960.00$