Suppose you have a credit card debt of $4000. Last month the bank charged you $40 interest on the debt. The solution to the equation 40 \ = (4000)/(12) r represents the annual i…

Question

Suppose you have a credit card debt of $4000. Last month the bank charged you $40 interest on the debt. The solution to the equation


`40 \ = (4000)/(12)`
r represents the annual interest rale, r, on the credit card. Find the annual interest rate on the credit card.​

Answer 1

1% per month

Explanation:

1% of 4000 is 40