Julia takes a car loan of $5,000 at a simple interest rate of 6% per annum. If she plans to pay back the loan in 3 years, what will be the total interest and the amount she will owe at the end of 3 years?

Simple interest is calculated as principal × rate × time: $5,000 × 0.06 × 3 = $900 in interest. Add the interest to the original loan: $5,000 + $900 = $5,900 total owed. The correct choice is C, “Interest: $900, Total Owed: $5,900.”

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