Problema Solution
A person invests $12000 for four years in an account earning simple interest. After the four year period the person has $14000. What was the interest rate?
Answer provided by our tutors
Let the interest rate be x
We have,
I = PNR/100
here, I = 2000
so we get,
2000 = 12000 * 4 *x /100
hence x = 4.17%