SOLUTION: The principal P is borrowed and the​ loan's future value A at time t is given. Determine the​ loan's simple interest rate r. P​ = ​$3300.00​, A​ = ​$3374.255, t​

Algebra ->  Equations -> SOLUTION: The principal P is borrowed and the​ loan's future value A at time t is given. Determine the​ loan's simple interest rate r. P​ = ​$3300.00​, A​ = ​$3374.255, t​      Log On


   

Question 1176670: The principal P is borrowed and the​ loan's future value A at time t is given. Determine the​ loan's simple interest rate r.
P​ = ​$3300.00​, A​ = ​$3374.255, t​ = 3 months
​
__% ​(Round to the nearest tenth as​ needed.)
Found 2 solutions by ewatrrr, ikleyn:
Answer by ewatrrr(24785) About Me  (Show Source):
You can put this solution on YOUR website!

Hi

Yes!  Use Simple Interest Formula:
A%28t%29+=+P%281+%2Brt%29
A%28t%29+=+P+%2B+Prt%29 

+r+=+%28A-P%29%2FPt+

 +r+=+%283374.255-3300%29%2F%283300%2A.25%29+= .09  0r 9% interest rate


Wish You the Best in your Studies.


Answer by ikleyn(52786) About Me  (Show Source):
You can put this solution on YOUR website!
.
The principal P is borrowed and the​ loan's future value A at time t is given. Determine the​ loan's simple interest rate r.
P​ = ​$3300.00​, A​ = ​$3374.255, t​ = 3 months
​
__% ​(Round to the nearest tenth as​ needed.)
~~~~~~~~~~~~~


            @ewatrrr solved the problem INCORRECTLY.

            She mistakenly used the formula for the compound account,
            although the problem asked to find the solution for a simple interest.

            I came to bring a correct solution. 


P = A + A%2Ar%2A%283%2F12%29


3374.25 = 3300 + 3300*r*0.25


r = %283374.25+-+3300%29%2F%280.25%2A3300%29 = 0.09 = 9%.     ANSWER

Solved.

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To see many other similar and/or different solved problems on simple interest accounts,  look into the lesson
    - Simple interest percentage problems
in this site.