Question

If the simple interest on $7,000 for 2 years is 980, then what is the interest rate?

Answer 1

7%

Explanation:

since the formula says si=ptr/100

so we have to separate r which gives us r =(i ×100)/(p×t)

now putting the values (980×100)/(7000×2)

=7

therefore the rate of interest is 7%