Question
If the simple interest on one thousand dollars 48 years is seven hundred twenty, then what is the interest rate?
Answers
Answered by
GPT 3.5
To find the interest rate, we can use the formula for simple interest:
Simple Interest = (Principal) x (Rate) x (Time)
Given that the principal is $1000 and the time is 48 years, and the interest is $720, we can rewrite the formula as follows:
$720 = $1000 x (Rate) x 48
To solve for the interest rate, we divide both sides of the equation by $1000 x 48:
Rate = $720 / ($1000 x 48)
Rate = 0.015
Converting this decimal to a percentage:
Rate = 0.015 x 100 = 1.5%
Therefore, the interest rate is 1.5%.
Simple Interest = (Principal) x (Rate) x (Time)
Given that the principal is $1000 and the time is 48 years, and the interest is $720, we can rewrite the formula as follows:
$720 = $1000 x (Rate) x 48
To solve for the interest rate, we divide both sides of the equation by $1000 x 48:
Rate = $720 / ($1000 x 48)
Rate = 0.015
Converting this decimal to a percentage:
Rate = 0.015 x 100 = 1.5%
Therefore, the interest rate is 1.5%.