Joaquin has agreed to lend his younger brother $45 so that he can buy a new tank for his pet lizard. Joaquin is charging his brother 2% simple interest per month. If his brother pays him back in 6 months, how much will Joaquin get back? Homework Help ✎
Using the equation for simple interest:
Interest = Prt
P = principal
r = interest rate
t = time
Interest = $45(.02)(6 months)
Remember, the total money Joaquin gets back includes the principal and the interest.