Question

If the simple interest on $6,000 for 9 years is $3,240 , then what is the interest rate?

Answer 1

Rate of interest is 6 %

Solution:

Given in question that,

simple interest = $ 3240

number of years = 9 years

principal sum = $ 6000

To find: interest rate

The simple interest is given as:

`S.I = (pnr)/(100)`

Where, "p" is the principal

"r" is the rate of interest

"n" is the number of years

Substituting the values in above formula,

`3240 = (6000 * 9 * r)/(100)\\\\3240 = 60 * 9 * r\\\\3240 = 540 * r\\\\r = (3240)/(540)\\\\r = 6`

Thus rate of interest is 6 %