SOLUTION: Don Glover borrowed $13,000 for 250 days and paid $604.80 in simple interest on the loan. What annual simple interest rate did Don pay on the loan? (Round your answer to the neares
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Question 1021694: Don Glover borrowed $13,000 for 250 days and paid $604.80 in simple interest on the loan. What annual simple interest rate did Don pay on the loan? (Round your answer to the nearest hundredth of a percent.) Answer by fractalier(6550) (Show Source):
You can put this solution on YOUR website! Simple interest is found by
I = Prt
If we wish the rate, we can find it by
r = I / Pt
Here we have
r = 604.80 / (13000)(250/365) = .068 = 6.8%
