Find the interest paid on a loan of 2300
Rate is the percent of the principal paid as interest per time period. Identify the rate.
R = 12%
Time is the number of days, months, or years that the money is borrowed or inversed.
Identify the time.
T = 2 years
Substitute values determined above for P,R, and T in the simple interest formula.
I = 2,300(0.12)(2)