Question

1After paying off her two-year loan of $5000, Janice noticed she had paid a total of $5200. Find

out what interest rate they used to charge her during this time.

Enter your answer

Answer 1

2%

Explanation:

Interest = Principal x Rate x Time

200 = 5000(2)·r

200/10000 = r

r = 2/100 which is .02 or 2%