Answer:
Here the correct answer is D) 14.55%.
Step-by-step explanation:
Given information -
Dishwasher amounts to - $320
Down payment - $20
Monthly payment of - $34 for 10 months
Interest rate - ?
With the given information we can calculate the amount of interest paid by Noel Devine -
Total amount paid - Dishwasher amount
= $20 + 10 x $34 - $320
= $360 - $320
= $40
Rate of interest (r) = i x 100 / p x n
where i = $40, n = 10 months ( when taken in year it will be 10 / 12 )
p ( principal ) = $320
= $40 x 100 / (10/12 x $320 )
= $4000 / $266.666667
= $4000 / $266 2/3 ( multiplying by 100 to take out percentage )
= 14.55%
=