Calculate the simple interest on a loan of $22,300 for 4 months at 18% per annum.

To calculate the simple interest, you can use the formula:

\[
I = P \times r \times t
\]

Where:
- $ I $ = Interest
- $ P $ = Principal (loan amount)
- $ r $ = Annual interest rate (as a decimal)
- $ t $ = Time in years

Let's break this down for the given values:
- $ P = 22,300 $
- $ r = \frac{18}{100} = 0.18 $
- $ t = \frac{4}{12} = \frac{1}{3} \text{ years} $

Now, plug these into the formula:

\[
I = 22,300 \times 0.18 \times \frac{1}{3}
\]

Let me calculate that for you.The simple interest on the loan of $22,300 for 4 months at an 18% annual interest rate is **$1,338**.

Would you like further details or have any other questions?

Here are some related questions:
1. What would be the interest if the loan was for 6 months instead of 4?
2. How much total amount needs to be repaid after the interest is added?
3. What would the interest be if the rate was 12% per annum?
4. How does compound interest differ from simple interest in this case?
5. How would the interest change if the loan amount was $30,000 instead?

**Tip:** Simple interest does not take into account the compounding effect, which makes it easier to calculate but less accurate for long-term loans.

Learn how to calculate simple interest on a loan of $22,300 for 4 months at an 18% annual interest rate. This example demonstrates key mathematical concepts such as interest calculation, time conversion, and percentage. Suitable for students in Grades 9-10.

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