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AlladinOne [14]
3 years ago
9

P=$4000.00,A=$5300.00,t=5 years

Mathematics
1 answer:
defon3 years ago
3 0

Answer:

The rate of Simple Interest is 6.5 %  

Step-by-step explanation:

Given as :

Principal = $ 4000.00

Amount = $ 5300.00

The time period of loan = 5 years

Let The rate of simple interest = R

Now,

From Simple Interest method

Simple Interest = \frac{Principal\times Rate\times Time}{100}

 And , Simple Interest = Amount - Principal

  So ,  Simple Interest = $ 5300.00 - $ 4000.00

  Or,   Simple Interest = $ 1300

Now, Simple Interest = \frac{Principal\times Rate\times Time}{100}  

So,     $ 1300  = \frac{ 4000\times Rate\times 5}{100}  

Or,     $ 1300 × 100 = $ 4000 × Rate × 5

Or,     Rate  =  \frac{1300\times 100}{4000\times 5}

Or,     Rate  = 6.5  

Hence The rate of Simple Interest is 6.5 %   Answer

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