Answer: See Explanation
Step-by-step explanation:
Simple interest is calculated as:
= principal × rate × time.
The interest for a 2% interest rate loan of $3000 for 1 year will be:
= principal × rate × time.
= $3000 × 2% × 1
= $3000 × 2/100 × 1
= $3000 × 0.02 × 1
= $60
The interest for a 3% interest rate loan of $3500 for 1 year will be:
= principal × rate × time.
= $3500 × 3% × 1
= $3500 × 3/100 × 1
= $3500 × 0.03 × 1
= $105
