A friend asks to borrow $250 for 120 days and agrees to pay 2.5% simple interest every 30 days. How much interest will you earn

We will $ 6.25 of interest every 30 days.

Step-by-step explanation:

Please notice that a month equals 30 days and that earning due to interests will be only effective after each 30th day. The simple interest formula is defined by the following formula:

(1)

Where:

- Borrowed money, measured in monetary units.

- Simple interest rate, measured in percentage.

- Number of periods, measured in months.

- Interested gain due to borrowed money, meausred in monetary units.

If we know that , and , then the interest earned is:

We will $ 6.25 of interest every 30 days.

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explanation: