Question

Find the simple interest percent to yield $100 interest in 5 years when $500 is invested.

Answer 1

Simplest is that $100 is 20% of $500.

If compounded yearly, then 100 = 500(1 + r/5)^5 - 500

r is the annual interest rate you are solving for

Answer 2

\[S.I=\frac{ p*r*t }{100 }\]
S.I=$100
P=500 $
t=5 years
r=?

Answer 3

Will you always divide every problem by 100?

Answer 4

rate is percent.

Answer 5

ohhh ok, got you

Answer 6

Is it clear that "simple interest" meant "annual percentage rate"? Probably.

Answer 7

it should be

\[\Large 100 = \frac{500*r*5}{100}\]

Answer 8

notice how I typed in 5 and NOT 50

Answer 9

\[\Large 100 = \frac{500*r*5}{100}\]

\[\Large 100 = \frac{2500r}{100}\]

\[\Large 100*100 = 2500r\]

\[\Large 10000 = 2500r\]

\[\Large 2500r = 10000\]

\[\Large r = ???\]

Answer 10

4

Answer 11

correct