You obtain a loan of $3,000 based on simple interest with an annual interest rate of 12%. At the end of the first month, the interest owed on $3,000 is

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The interest for one month can be calculated by dividing the annual interest rate by 12 (to get a monthly rate) and then applying it to the principal. So, $ \frac{12\%}{12} = 1\% $ of $3,000 is $30.

You Obtain a Loan of $3,000 Based on Simple Interest