Question

Julie borrowed $3,500 for 3 years at 7½% simple interest rate. How much interest is that?

Answer 1

A=P(1+rt)

P=3500
t=3yrs.
r=7.5% / 100 = 0.075

A= 3500(1 + (0.075 x 3)) = 4287.5

A= $ 4,287.50