Question

You borrow ​$3000 from a friend and promise to pay back ​$6150 in 5 years. What simple interest​ rate, to the nearest tenth of a​ percent, will you​ pay?

Answer 1

R = ( 1/T )( A/P - 1 )

P = $3000
T = 5
A = $6150

R = (1/5) x ( ($6150/$3000) - 1 ) = 0.21

R = 0.21 x 100

R = 21% per year

Aka your answer should be 21%