SOLUTION: A pawnbroker loans Elisa #270. Seven days later, Elisa gets her bicycle back by paying the pawnbroker $289.50. What annual simple interest rate did the pawnbroker charge Elisa?
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Question 1138010: A pawnbroker loans Elisa #270. Seven days later, Elisa gets her bicycle back by paying the pawnbroker $289.50. What annual simple interest rate did the pawnbroker charge Elisa? Answer by VFBundy(438) (Show Source):
You can put this solution on YOUR website! Interest = Principal * Rate * Time (in years)
19.50 = 270(r)(7/365)
19.50 = (1890/365)r
r = 3.77
This means the interest rate was 377%.
