Q: How much interest will be paid in 1 year for a loan of at simple interest?

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365$ give or take :)

237.5

Simple interest refers to interest that is only paid on principal. Simple discount refers to the amount that is deducted from the amount of the loan.

The interest rate is given in the question. It is 3.5%.The amount of interest paid on the loan depends on how much of the loan (if any) is paid back during the period of the loan. If there are no interim payments, the total interest at the end of 5 years is 2681.85 approx.

Assuming the interest rate is 91/2 (the format is garbled in the question), the answer is 2500*0.095 = 237.50

Related questions

558,92

365$ give or take :)

237.5

Simple interest refers to interest that is only paid on principal. Simple discount refers to the amount that is deducted from the amount of the loan.

The interest rate is given in the question. It is 3.5%.The amount of interest paid on the loan depends on how much of the loan (if any) is paid back during the period of the loan. If there are no interim payments, the total interest at the end of 5 years is 2681.85 approx.

Assuming the interest rate is 91/2 (the format is garbled in the question), the answer is 2500*0.095 = 237.50

The interest paid annually is 700*5/100 = 35

Total interest paid in 5 years = 5*16000*0.09 = 7200

110,082.80

1600

The advantages of an amortization loan is that there is much less of a credit risk and there is also much less of an interest rate risk because the loan is paid quicker so there is less effect from the interest rate.

An amortized loan is just a basic loan where the principal and interest are paid on a monthly basis. Usually, the majority of the interest is paid first, then the principal.