Bill takes a loan of $9,000.00 at a 8% simple interest rate for 6 years.

a. How much interest will he pay after 2 years?
b. How much interest will he pay in total for the loan?
$720.00; $3,600.00 $1,408.00; $4,224.00 $36,000.00; $12,000.00 $1,440.00; $4,320.00
(1 point)

1 answer

a. After 2 years, Bill will pay interest of:

Interest = Principal x Rate x Time
Interest = $9,000.00 x 0.08 x 2
Interest = $1,440.00

Therefore, Bill will pay $1,440.00 in interest after 2 years.

b. The total interest Bill will pay for the loan is:

Interest = Principal x Rate x Time
Interest = $9,000.00 x 0.08 x 6
Interest = $4,320.00

Therefore, Bill will pay $4,320.00 in total interest for the loan.

The answer is: $1,440.00; $4,320.00