Question 1062224
1,500,000*0.0375*1 year, assuming simple interest and one year=56,250
1,500,000*0.0425*1 year=63,750
That is an increase of 7,500.
Another way is 1,500,000*0.005, which is the increase alone=7500.
If the interest is compounded, the answer will be different.
The percentage increase is 7500/56,250=13.3% or 13% to the nearest integer.
That is the same as .5/3.75.