Question

Steve Marino borrowed $500 from his credit union for 2 years. The simple that he paid was $52.90. What simple interest rate was Jeff charged?

Answer 1

Take the simple interest formula
I = PxRxT and solve it for R to get
R = I/(PT)
= 52.9/(500x2)
= .0529 or 5.29%

Answer 2

THANK YOU!