Find the amount (in $) of interest on the loan.
Principal	Rate (%)	Time	Interest
$50,000
8
3
4
6 months

To calculate the interest on a loan, we can use the simple interest formula:

\[
\text{Interest} = \text{Principal} \times \text{Rate} \times \text{Time}
\]

Where:
- **Principal (P)** = $50,000
- **Rate (R)** = 8% per annum (which is 0.08 as a decimal)
- **Time (T)** = 6 months (half a year), so $ T = \frac{6}{12} = 0.5 $ years.

Now, let's calculate the interest.

\[
\text{Interest} = 50,000 \times 0.08 \times 0.5
\]

I'll calculate that for you.The interest on the loan is **$2,000**.

Would you like further details or explanations?

Here are 5 questions related to this topic:
1. How does compound interest differ from simple interest?
2. What happens if the loan period extends beyond 6 months?
3. How does increasing the principal affect the interest?
4. What is the total amount to be repaid, including interest?
5. How does changing the interest rate impact the final interest?

**Tip:** Always ensure you convert time to years when using the simple interest formula.

Find the amount (in $) of interest on the loan.

Learn how to calculate the interest on a $50,000 loan at an 8% annual rate over 6 months using the simple interest formula. This step-by-step guide explains the process of determining the interest amount, suitable for students in Grades 6-8.

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