Question

the total amount of interest on this loan of $6000 for 150 days is $210.50.
what is the rate of interest on this loan?


If not compounded, or simple interest, then
Interest=Principal(rateinterest)*time

Here time is 5/12 of a year, you are given the interest and principle. Figure the rate of interest.

Answer 1

25.26

Answer 2

Vicky was charged $456 interest for 1 month on a $2400 credit card balance. What was the monthly interest rate?

Answer 3

I = Po*r*t = 210.50.
6000*(r/360)*150 = 210.50,
2,500r = 210.50,
r = 0.0842 = 8.42%.

I = Po*r*t = 456.
2400*(r/12)*1 = 456,
r = 2.28 = 228%/yr. = APR.
MPR = 228/12mo. = 19%/mo.