Chapter 3: Q. 128 (page 334)

In the following exercises, solve.
Pablo borrowed $$50, 000$ to start a business. Three years later, he repaid the $$ 50, 000$ , plus $$ 9, 375$ interest. What was the rate of interest?

Short Answer

Expert verified

The rate of interest for the amount of $$ 50, 000$ is $6.25 %$

Step by step solution

Step 1. Given Information

The principal, $P = $ 50, 000$

Interest, $I = 9, 375$

Time, $t = 3$ years

Step 2. Simple interest formula

Simple interest, $I = P r t$

Substitute the known values,

$9375 = 50, 000 (r) (3) 9375 = 1, 50, 000 r$

Step 3. Find r

Solve the equation for r,

$r = \frac{9, 375}{1, 50, 000} = 0.0625$

Write the rate of interest in percentage,

$r = 0.0625 \times 100 = 6.25 %$

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In the following exercises, solve.
Pablo borrowed $\(50, 000$ to start a business. Three years later, he repaid the $\) 50, 000$ , plus $$ 9, 375$ interest. What was the rate of interest?

Short Answer

Step by step solution

Step 1. Given Information

Step 2. Simple interest formula

Step 3. Find r

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In the following exercises, solve.Pablo borrowed \(50,000to start a business. Three years later, he repaid the \)50,000, plus $9,375 interest. What was the rate of interest?

Short Answer

Step by step solution

Step 1. Given Information

Step 2. Simple interest formula

Step 3. Find r

One App. One Place for Learning.

Most popular questions from this chapter

Recommended explanations on Math Textbooks

Probability and Statistics

Mechanics Maths

Decision Maths

Logic and Functions

Statistics

Geometry

Study anywhere. Anytime. Across all devices.

In the following exercises, solve.
Pablo borrowed $\(50, 000$ to start a business. Three years later, he repaid the $\) 50, 000$ , plus $$ 9, 375$ interest. What was the rate of interest?