what is the simple interest of 32500 for a 4 year loan at 4%?

Answer 1

I = PRT

I = 32,500 * 0.04 * 4

I = ?

Answer 2

32500*4=1300*4=5200 why wouldn't I multiply it by 48 since it is a 4 year loan not a 4 month loan? isn't interest by the month not the year?

Answer 3

No. Loan percentage rates are for a year, not a month.