Question

Deonte invested 200000at his bank for 10 years if he earned 130000 what was the interest rate the bank gave him

Answer 1

The interest rate the bank gave Deonte is 6.5%.

Solution:

Given, Deonte invested 200000 at his bank for 10 years

He earned 130000

We have to find what was the interest rate the bank gave him.

Now we know that, simple interest
`=\frac{\text {amount} * \text {rate} * \text {time}}{100}`

So, by substituting our values in above formula,

`130000=\frac{200000 * \text { rate } * 10}{100}`

Interest rate
`*` 20000 = 130000

Interest rate
`*` 2 = 13

`\text { Interest rate }=(13)/(2)=6.5 \%`

Hence, the interest rate given by bank is 6.5% to Deonte.