Question

If the simple interest on ​$2000 for 4 years is ​$480​, then what is the interest​ rate?

Answer 1

R

=

6

%

Explanation:

The formula for Simple Interest is

S

I

=

P

R

T

100

Change the subject to be R.

R

=

100

×

S

I

P

T

Once that is done, we just need to substitute the values.

R

=

100

×

480

2000

×

4

R

=

6

%

Answer 2

Answer: 6%

Explanation:

R=100×480/2000×4

R=6%