How much interest would be earned on $150 after one year at a 6% simple interest rate?

How much interest would be earned on $150 after one year at a 6% simple interest rate?

• A. $6.00
• B. $9.00
• C. $12.00
• D. $15.00

Answer: (B)

To calculate the interest earned on an amount using simple interest, you can use the formula: Interest = Principal × Rate × Time In this scenario: - The principal amount is $150. - The interest rate is 6%, which can be expressed as a decimal, so it becomes 0.06. - The time is one year. Plugging the values into the formula gives: Interest = $150 × 0.06 × 1 = $9.00 This calculation shows that the interest earned after one year on $150 at a 6% simple interest rate is $9.00. The correct answer reflects the proper application of the simple interest formula, making it clear how much money would be earned in interest over that year.

To calculate the interest earned on an amount using simple interest, you can use the formula:

Interest = Principal × Rate × Time

In this scenario:

• The principal amount is $150.

• The interest rate is 6%, which can be expressed as a decimal, so it becomes 0.06.

• The time is one year.

Plugging the values into the formula gives:

Interest = $150 × 0.06 × 1 = $9.00

This calculation shows that the interest earned after one year on $150 at a 6% simple interest rate is $9.00. The correct answer reflects the proper application of the simple interest formula, making it clear how much money would be earned in interest over that year.