Answer: $28750
Step-by-step explanation:
Since 12 months = 1 year, it should be noted that 60 months = 60/12 = 5 years.
Simple interest = Principal × Rate × Time
= $25000 × 3% × 5
= $25000 × 0.03 × 5
= $3750
The total amount that Joey will pay for the car will be the value of the principal plus the interest which will be:
= $25000 + $3750
= $28750
