SOLUTION: The principal P is borrowed at a simple interest rate r for a period of time t. Find the simple interest owed for the use of the money. Assume 360 days in a year.
P​ = ​$5000â
Question 1154104: The principal P is borrowed at a simple interest rate r for a period of time t. Find the simple interest owed for the use of the money. Assume 360 days in a year.
P​ = ​$5000​, r​ = 6​%, t​ = 1 year Answer by ikleyn(52795) (Show Source): You can put this solution on YOUR website! .
Simple interest I = 5000*0.06*1 = 300 dollars. ANSWER
Here 0.06 is 6% and 1 is 1 year.
In this problem, there is no need to assume that 1 year is 360 days.