Question

Give the formula of simple interest where I is the interest in dollars P is the principal in dollars or is the rate as a decimal and tea is the time period in years

Answer 1

first part:

The simple interest formula is:

I = P*r*t

second part:

Based on the given information, you have:

P = $6,000 principal

r = 4.4% = 0.044 annual interest rate

t = 10/12 = 0.84 time in years, 10/12 years is the same as 10 months

I = ($6,000)(0.044)(0.84) = $221.76

third part:

The matuirity is given by:

M = P + I

M = $6,000 + $221.76

M = $6,221.76