Question

A store offers customers two ways to pay for a new TV. Option 1 : Pay $1,500 today. Option 2 : Pay nothing today, and take out a simple interest loan to pay a total of $1,650 one year from now. What is the simple interest rate on the loan in option 2 ?

Answer 1

1650÷1500= 1.1% is the rate, to check we do 1500×1.1=1650

Answer 2

10%

hope it helps