Final answer:
The rate of interest on Anna's loan is calculated using the simple interest formula. The total interest paid was RM1,500 over 9 months, resulting in a rate of 13.33%. Interest rates are crucial because they determine the borrowing costs and monthly payments.
Step-by-step explanation:
The student is asking to determine the rate of interest on a loan that Anna took out. The amount borrowed was RM15,000 and she repaid RM16,500 after 9 months. Using the formula for simple interest I = PRT (where I is the interest, P is the principal amount, R is the rate, and T is the time in years), we can rearrange the formula to solve for R (the rate).
First, we calculate the total interest paid by subtracting the principal from the total amount repaid, which gives us RM1,500. Then we can calculate the time in years by dividing 9 months by 12. Since we have the interest (I) and principal (P) and now the time (T), we can solve for R:
R = I / (PT)
R = RM1,500 / (RM15,000 * 9/12)
R = RM1,500 / (RM15,000 * 0.75)
R = RM1,500 / RM11,250
R = 0.1333 or 13.33%
The interest rate is significant because it determines the cost of borrowing money. In Anna's case, the rate affects the total repayment and the monthly payment she has to make. A lower interest rate would mean lower total and monthly payments, while a higher interest rate would increase both.