What is the annual interest rate if a simple interest loan of ($10),000 for 4 years charges

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What is the annual interest rate if a simple interest loan of $$10$,000 for 4 years charges a total of $$2$,800 interest? The loan is repaid with a single payment at the end of year 4.

a. 7 percent

b. 28 percent

c. i such that 12;800 = 10; 000(F|P i%;4)

d. Cannot be determined from the information given

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Principles Of Engineering Economic Analysis

ISBN: 9781118163832

6th Edition

Authors: John A. White, Kenneth E. Case, David B. Pratt

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Question Posted: Mar 26, 2024 01:02 AM

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What is the annual interest rate if a simple interest loan of ($10),000 for 4 years charges

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To find the annual interest rate for a simple interest loan we can use the formula Interest P...View the full answer

Principles Of Engineering Economic Analysis

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