Answer:
The average interest rate will be approximately 9.64%
Step-by-step explanation:
Enrique borrowed $23000
2% interest on $4500 will be
4500 × 2/100
= 45 × 2
= $90
On the rest, which is
$23000 - $4500 = $18500
11.5% interest on $18500 will be
18500 × 11.5/100
= 185 × 11.5
= $2127.50
The total interest will be
$90 + 2127.50 = $2217.50
The average interest will be Total interest multiply by 100, divide by principal
That is Interest = pr/100, where t = 1
r = (I × 100)/p
r = (2217.50 × 100)/23000
r = 221750/23000
r ≈ 9.64%
