Question

$60 simple interest is received on a loan each year. When the rate of interest is increased by 0.5%, the simple interest is $70. What is the amount of the loan?​

Answer 1

Explanation:

$60 simple interest is received on a loan each year. When the rate of interest is increased by 0.5%, the simple interest is $70. What is the amount of the loan?​

Answer 2

Explanation:

I=Pr

P(r+.005-r)=70-60

.005P=10

P=$2000