SOLUTION: Sandra borrowed $1500 on a 8-month note. The maturity value of the note was $1620. What simple interest rate was he charged for his note?

Algebra ->  Customizable Word Problem Solvers  -> Finance -> SOLUTION: Sandra borrowed $1500 on a 8-month note. The maturity value of the note was $1620. What simple interest rate was he charged for his note?       Log On

Ad: Over 600 Algebra Word Problems at edhelper.com


    

Question 863990: Sandra borrowed $1500 on a 8-month note. The maturity value of the note was $1620. What
simple interest rate was he charged for his note?
Answer by rfer(16322) About Me  (Show Source):
You can put this solution on YOUR website!
I=Prt
120=1500*r*2/3
120=1000r
120/1000=r
r=0.12=12%