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Alex charged his textbooks, clothes, and some downloads on his credit card. He received a bill
from his credit card company for $1000. The interest rate on his card is 21%. He is going to pay i
off in 3 monthly payments. He wants to know how much this loan will cost him in interest.

Respuesta :



Interest paid = $1035.21 - $1000 = $35.21

The loan will cost interest will be $35.21.The total amount is the sum of the principal and the interest.

What is simple interest?

It is defined as the interest based on the principal amount, it does not include the compounded amount. The interest calculates on the initial amount or borrowed amount.

The given data in the problem is;

P is the principal = $1000

The interest rate on his card is 21%.

t is the time period = 3 month

The amount is denoted by A;

[tex]\rm A = P +I \\\\ I=A-P \\\\ I= \$1035.21 - \$1000 \\\\ I= \$ \ 35.21[/tex]

Hence the loan will cost interest $35.21.

To learn more about the simple interest refer to the link;

brainly.com/question/22621039

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