Question

What is the simple interest due on a six-month loan of $3250 if the interest rate is 7.75%

Answer 1

Assuming that it's an annual interest rate ---

(3250 * 0.075) / 2 = ?

Answer 2

IT IS A 6 MONTH LOAN, AND THE CORRECT ANSWER IS $125.94

Answer 3

Sorry -- I had a typo in the problem above. It's 0.0775

You're right.

(3250 * 0.0775) / 2 = 125.94