Respuesta :
Answer:
Principal = $500 [ Loan taken ]
Interest, which is Simple=$ 40
Time = 2 weeks=14 days=[tex]\frac{14}{12\times30}[/tex]=[tex]\frac{7}{180}years[/tex]
Rate of interest = ?=r
Formula for simple interest
[tex]Simple interest = \frac{principal\times rate\times time}{100}[/tex]
[tex]40=\frac{500\times7\times r}{180\times100}[/tex]
[tex]r=\frac{40\times 180 \times 100}{500 \times 7}[/tex]
[tex]r = \frac {1440} {7}[/tex]
r= 205 5/7% [ Mixed fraction][/tex]⇒ Yearly rate of interest
Since i have find the rate of interest as yearly, i will convert it into weekly by dividing by 52.
So , r = [tex]\frac{1440}{7\times52}[/tex]
r= 360/91
r=3.956% (weekly)
