Question

What is the rate of the interest on $560 for two years is $145.60?

Answer 1

The rate of interest is 13%.

Step-by-step explanation:

Given,

Principal (P) = $560

Interest (I) = $145.60

Time (T) = 2 years

To find the rate of interest

Formula

If P principal was invested for T years at r% simple interest, the interest will be I = $\frac{PTr}{100}$

So,

Putting the values of P, I, T we get,

145.60 =  $\frac{560X2Xr}{100}$

or, r = $\frac{145.60X100}{2X560}$

or, r = 13%

Hence,

The rate of interest is 13%.