If the simple interest on one thousand dollars for Eight years is seven hundred twenty dollars and what is the interest rate
To find the interest rate, we can use the formula for simple interest:
I = P * r * t
Where:
I = Interest
P = Principal amount
r = Interest rate
t = Time (in years)
In this case, we know the principal amount (P) is $1000, the time (t) is 8 years, and the interest (I) is $720. We need to calculate the interest rate (r).
720 = 1000 * r * 8
To find r, divide both sides of the equation by (1000 * 8):
r = 720 / (1000 * 8)
r = 0.09 or 9%
Therefore, the interest rate is 9%.