At what simple interest rate will 4500$ amount to 8000$ in 5 years? | MathCelebrity Forum

At what simple interest rate will 4500$ amount to 8000$ in 5 years?

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At what simple interest rate will 4500$ amount to 8000$ in 5 years?

Simple Interest is written as 1 + it.

With t = 5, we have:
4500(1 + 5i) = 8000

Divide each side by 4500
1 + 5i = 1.77777778

Subtract 1 from each side:
5i = 0.77777778

Divide each side by 5
i = 0.15555

As a percentage we multiply by 100 to get 15.5%
 
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