Kyle borrowed $3400 with an annual simple interest rate of 8% for 9 months.

Which formula is set up to correctly calculate the amount of simple interest Kyle will owe?

(1 point)
Responses

I = 3400 • 8 • 9
I = 3400 • 8 • 9

I = 3400 • .08 • 9
I = 3400 • .08 • 9

I = 3400 • .08 • .75
I = 3400 • .08 • .75

I = 3400 • 8 • .75
I = 3400 • 8 • .75

Convert 9.5% into decimal form.(1 point)
Responses

0.95
0.95

950
950

9.5
9.5

0.095

Kyle borrowed $3400 with an annual simple interest rate of 8% for 9 months. Calculate the amount of interest Kyle will owe.

*Convert % into decimal form; convert months into years

(1 point)
Responses

$204
$204

$244,800
$244,800

$20,400
$20,400

$2,448
$2,448
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1 answer

To solve the problems step by step:

  1. Correct formula for calculating simple interest: The formula for calculating simple interest \( I \) is given by: \[ I = P \times r \times t \] where:

    • \( P \) is the principal amount (the initial amount borrowed).
    • \( r \) is the annual interest rate (in decimal form).
    • \( t \) is the time (in years).

    In this case:

    • \( P = 3400 \)
    • \( r = 8% = 0.08 \)
    • \( t = 9 \text{ months} = \frac{9}{12} = 0.75 \text{ years} \)

    Therefore, the correct formula to calculate the amount of simple interest Kyle will owe is: \[ I = 3400 \times 0.08 \times 0.75 \]

    The corresponding response among the options is: I = 3400 • .08 • .75

  2. Convert 9.5% into decimal form: To convert percent to decimal, divide the percentage by 100: \[ 9.5% = \frac{9.5}{100} = 0.095 \] The correct response is: 0.095

  3. Calculating the amount of interest Kyle will owe: Using the formula: \[ I = 3400 \times 0.08 \times 0.75 \] First, calculate \( 0.08 \times 0.75 \): \[ 0.08 \times 0.75 = 0.06 \] Now multiply by the principal: \[ I = 3400 \times 0.06 = 204 \]

    So the amount of interest Kyle will owe is: $204

In summary:

  1. The correct formula for simple interest is I = 3400 • .08 • .75.
  2. The decimal form of 9.5% is 0.095.
  3. The amount of interest Kyle will owe is $204.