The simple interest on a loan of $200 at 10 percent interest per year is
$10 per year until the loan is paid off.
$15 per year until the loan is paid off.
$20 per year until the loan is paid off.
$25 per year until the loan is paid off
The simple interest on a loan of $200 at 10 percent interest per year is
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To calculate the simple interest on a loan, you can use the formula:
[ text{Interest} = text{Principal} times text{Rate} times text{Time} ]
In this case:
– Principal = $200
– Rate = 10% = 0.10
– Time = 1 year
Plugging in the values:
[ text{Interest} = 200 times 0.10 times 1 = 20 ]
So, the simple interest on the loan of $200 at 10 percent interest per year is $20 per year until the loan is paid off.
The correct answer is: $20 per year until the loan is paid off.