Mrs. Harper took out a 2-year loan for \(\$300\)at an interest rate of 8% per year. How much did she have to pay in interest at the end of the two years?

Explanation

Use the formula i = prt. Put 300 in place of p, put 0.08 in place of r, and put 2 in place of t.
\(i=300 \times 0.08 \times 2\)
\(i = 24 \times 2\)
i = 48 dollars

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