Answer:
Interest (I) = $ 900
Step-by-step explanation:
Formula for interest is given by:
Interest(I) = [tex]\frac{P \times R \times T}{100}[/tex]
where
P represents principal
R represents rate of interest
T represents the time in year.
Given : P = $ 12,000 , R =2.5% and T = 3 years.
Interest(I) = [tex]\frac{12000 \times 2.5 \times 3}{100}[/tex]
On simplify:
[tex]I = \$ 900[/tex]
Therefore, the interest is , $ 900
