SOLUTION: You obtain a loan of $3,000 based on simple interest with an annual interest rate of 12 percent. At the end of the first month, the interest owed on $3,000 is

Question 528211: You obtain a loan of $3,000 based on simple interest with an annual interest rate of 12 percent. At the end of the first month, the interest owed on $3,000 is

Answer by Maths68(1474) (Show Source): You can put this solution on YOUR website!
Amount = $3000
Interest rate per year or 12 months= 12%

Interest for first month = (3000*12%)/12
Interest for first month = (3000*0.12)/12
Interest for first month = (3000*0.12)/12
Interest for first month = 360/12
Interest for first month = $30

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