What are the amounts of interest and maturity value of a loan for 150,000 at 6 1/2% simple interest for 3 years?

The formula for computing the amount of simple interest is: I = Prt Where P = principal amount of the loan              r = interest rate of the loan              t = duration of the loan Substituting the amounts in the formula, I = (150,000) (6.5%) (3)   = 29,250 To compute for the maturity value, you have to add the interest to the principal amount: Maturity value = 150,000 + 29,250 = 179,250