Pam and Chris found a home for which they would have to borrow H dollars. If they take out a 25-year loan with monthly payment M, express the interest I in terms of H and M

The amount of money borrowed is $ H

Time for borrowing is 25 years

Amount paid per month M

Amount paid per year 12M

Interest rate paid=I

Let the payment method be simple interest method, then:

I = (PRT) / 100

plugging in our values we have:

I = (H*R*M) / 100

hence:

I=HRM/100