Jameson is seeking a loan with a simple interest rate of 3% per year. If he wants to borrow 8,000 then how much will he be charged in interest after 4 years

Simple interest formula

A=P (1+rt)

Where,

A=Accrued amount, P = Amount borrowed, r=Interest rate per year, t = time in years.

Interest accrued = A-p = P (1+rt) - P = P{ (1+rt) - 1} = 8,000 { (1+0.03*4) - 1} = $960