Post a New Question

Business Math

posted by .

. Compute the rate for the following loan. Round your answer to the nearest tenth of a percent.
Principal
Rate (%)
Time
Interest

$50,000

9 months
$4,500


(Points : 2)

  • Business Math -

    Are we doing simple interest?

    notice your data did not line up nicely, do we have

    principal = $50000
    rate = ????
    time = 9 months
    interest = $4500 ?

    rate = interest/(principal x time)
    = 4500/(50000(9/12)) = .12

    So the simple interest rate is 12% per annum

Answer This Question

First Name
School Subject
Your Answer

Related Questions

More Related Questions

Post a New Question