meghan has a $1,000 personal loan with 10% interest. she has 3 years to pay it off. how much interest will…

meghan has a $1,000 personal loan with 10% interest. she has 3 years to pay it off. how much interest will she pay over the life of the loan?\n$3\n$10\n$300\n$1,000

meghan has a $1,000 personal loan with 10% interest. she has 3 years to pay it off. how much interest will she pay over the life of the loan?\n$3\n$10\n$300\n$1,000

Answer

Explanation:

Step1: Identify the simple - interest formula

The simple - interest formula is $I = Prt$, where $I$ is the interest, $P$ 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 $r = 10%=0.1$. The principal amount $P=$1000$ and the time $t = 3$ years.

Step3: Substitute values into the formula

$I=Prt=1000\times0.1\times3$.

Step4: Calculate the interest

$I = 100\times3=$300$.

Answer:

C. $300