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OpenStudy (anonymous):
What percentage interest rate is a loan that charges four thousand dollars in simple annual interest over 2 years on a five thousand dollar balance?
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OpenStudy (jdoe0001):
I = Prt i = interest amount P = principal t = years r = rate of interest, in decimal format, 20% = 0.2 ------------------------------ 4000 = 5000 x r x 2 solve for "r" :)
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