Question

When do you use ( P ) in simple interest word problems? i always get Interest ( I ) mixed up with .. i know HOW to solve it but just not which place the
( principle and interest value ) in the formula to place it..

formula, I = Prt.

Example: Bob got a loan of $1700.00 loan for 2 years. He paid $90 in interest. what was the interest rate?

Answer 1

90/2 = 45
45/1700 = 0.02647
0.02647 x 100 = 2.64
2.46%