Answer:
A) $1,050
B) $6,050
Step-by-step explanation:
We solve using the Simple Interest formula
Simple Interest (I) = Principal × Rate × Time
From that above question, we have the parameters
Principal = $5000
Rate = 3.5 % = 0.035
Time = 6 years
A) How much will he have to pay for the interest?
Hence,
Interest = $5,000 × 0.035 × 6
= $1,050
Therefore, the amount of interest he will have to pay is $1,050
B) How much will he have to pay total?
The amount he will have to pay in contact =
Principal + Interest paid on loan
= $5,000 + $1,050
= $6,050
