Question

April took out a $600 loan from the bank. At the end of 5 years, she pays

back the principal, plus $60 simple interest. What was the interest rate?
a) 2%
b) 7%
c) 1.2%
d) 5.5%

Answer 1

2%

Explanation:

$60 is 10% of $600

If you divide that 10% by the 5 years you get 2%