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pic The Jones family wants to remodel their kitchen. They have saved in the last two years. Their contractor says the remodel will cost . They can borrow the difference at a monthly interest rate of simple interest. If they pay the loan off in six months, how much will they have paid?  Homework Help ✎

First calculate how much money the Jones need to borrow.

Calculate the amount of interest that is added per month.

Since the Jones can pay off the loan in months, multiply the amount of interest added per month by .

Finally, add that amount to the original to find the amount of money the Jones need to pay.

Do you see how the simple interest formula was used?