The 3-year interest of 50,000 yuan is 1.422 yuan.
According to the meaning of the question, the loan principal is 50 thousand yuan, that is, 50 thousand yuan.
The monthly interest rate is 7.9%, which is 0.079%.
The loan period is 3 years.
According to the formula, monthly interest = monthly interest rate of principal.
Then the monthly interest of 50,000 yuan = 500,000.079% = 39.5.
The banking system has 12 months a year,
Then three years is 3 12=36 months,
Then the interest of 50,000 yuan for three years is 39.536= 1422 (yuan).
The amount of interest depends on three factors: principal, deposit period and interest rate level.
The calculation formula of interest is: interest = principal x interest rate x deposit term.
Extended data
Factors that arouse interest:
1. Delay consumption. When the lender lends money, it is equivalent to delaying the consumption of consumer goods. According to the principle of time preference, consumers will prefer current goods to future goods, so there will be positive interest rates in the free market.
2. Anticipating inflation, inflation will occur in most economies, representing a certain amount of money, and fewer goods can be purchased in the future than at present. So the borrower needs to compensate the lender for the losses during this period.
3. In addition to alternative investments, lenders can choose to invest their funds in other investments. Due to the opportunity cost, the lender lends money, which is equivalent to giving up the possible return on other investments. Borrowers need to compete with other investments for this fund.
4. Investment risk: The borrower faces the risk of bankruptcy, absconding or non-repayment of debts at any time, and the lender needs to charge extra fees to ensure that compensation can still be obtained under these circumstances.
5. Liquidity preference, people will prefer that their funds or resources can be traded immediately at any time, rather than spending time or money to get them back. Interest rate is also a kind of compensation for this.