Question

If $900 is borrowed and the interest after 6 months is $36, what is the annual interest
rate for a simple interest loan?

Answer 1

do you not know the formula? it should be in your book, look for interest formula or rate

Answer 2

8 % P. A.

Answer 3

no i dont know how to set it up. can you tell me please

Answer 4

This example problem will help you solve your problem, read it over, and if u have any ?'s let me know, http://math.about.com/od/businessmath/ss/Interest.htm

Answer 5

remember 6 months is 1/2 year, not 6 years

Answer 6

it is simple
see ur return is (36/900)*100 = 4 % in half years
so, 1 year return is 2* 4 % = 8%