Question

Find the interest rate. You are borrowing $1,310 for 10 years and you are penalized $655 in interest.

Pls Help

Answer 1

5%

Explanation:

I (simple interest) = $655

P (principle) = $1,310

R (interest rate) = ?

T (time) = 10

I = PRT

655=(1,310)r(10)

655 = 13,000•r

13,100 13,100

r • 0.05

0.05 converted to percent is 5%