Question

the following information is known about a loan.

time = 8 years
interest rate = 14%
principal = $1,010

what is the total amount of simple interest that is earned?

$113.20
$1,131.20
$11,311.20
$113,112.00

Explanation:

<pre_analysis>
{
"quality": "clear",
"question_count": 1,
"skills_matched": [
"step_cot",
"multiple_choice_formatter",
"explain_then_answer",
"tutor",
"mastery_adaptive_brevity"
],
"needs_drawing": false,
"concepts_used": [
"Simple Interest Formula"
],
"new_concepts": [],
"current_concepts": [
"Simple Interest Formula",
"Financial Terminology"
]
}
</pre_analysis>

<reasoning>

Identify the given values

We extract the parameters from the problem statement:

• Principal \(P = \$1,010\)
• Interest rate \(r = 14\% = 0.14\)
• Time \(t = 8\text{ years}\)

Calculate the simple interest

Using the Simple Interest Formula knowledge point
\[

$$\begin{aligned} I &= P \cdot r \cdot t \\ I &= 1010 \cdot 0.14 \cdot 8 \\ I &= 1010 \cdot 1.12 \\ I &= 1131.20 \end{aligned}$$

\]
</reasoning>

<answer>
<mcq-option>(A) $113.20</mcq-option>
<mcq-correct>(B) $1,131.20</mcq-correct>
<mcq-option>(C) $11,311.20</mcq-option>
<mcq-option>(D) $113,112.00</mcq-option>
</answer>

<post_analysis>
{
"subject": "Mathematics",
"question_type": "Multiple Choice",
"knowledge_point": [
"Mathematics",
"Algebra",
"Simple Interest Formula"
]
}
</post_analysis>

Answer:

<pre_analysis>
{
"quality": "clear",
"question_count": 1,
"skills_matched": [
"step_cot",
"multiple_choice_formatter",
"explain_then_answer",
"tutor",
"mastery_adaptive_brevity"
],
"needs_drawing": false,
"concepts_used": [
"Simple Interest Formula"
],
"new_concepts": [],
"current_concepts": [
"Simple Interest Formula",
"Financial Terminology"
]
}
</pre_analysis>

<reasoning>

Identify the given values

We extract the parameters from the problem statement:

• Principal \(P = \$1,010\)
• Interest rate \(r = 14\% = 0.14\)
• Time \(t = 8\text{ years}\)

Calculate the simple interest

Using the Simple Interest Formula knowledge point
\[

$$\begin{aligned} I &= P \cdot r \cdot t \\ I &= 1010 \cdot 0.14 \cdot 8 \\ I &= 1010 \cdot 1.12 \\ I &= 1131.20 \end{aligned}$$

\]
</reasoning>

<answer>
<mcq-option>(A) $113.20</mcq-option>
<mcq-correct>(B) $1,131.20</mcq-correct>
<mcq-option>(C) $11,311.20</mcq-option>
<mcq-option>(D) $113,112.00</mcq-option>
</answer>

<post_analysis>
{
"subject": "Mathematics",
"question_type": "Multiple Choice",
"knowledge_point": [
"Mathematics",
"Algebra",
"Simple Interest Formula"
]
}
</post_analysis>