Question

If Steve paid back $7,945 on a $7000 simple interest loan after 3

years. What was the interest rate?

Answer 1

interest rate= 4.5%

Explanation:

steve paid back=7945

loan------------------7000

total interest for 3 years=945

for one year-----------------=315

rate of interest= (315 X 100)/7000= 4.5%