SIMPLE INTEREST 1

Rayan deposited the amount of 50,000/= in a bank for 5 years and got a profit of 10,000/=. Find the interest rate?

Solution

I = 10,000/=, P = 50,000/=, T = 5 years, R = ?

I  = PRT

      100

10,000  = 50,000 x R x 5

                      100

10,000  = 50,000 x R x 5

                      100

10,000  = 500 x R x 5

                      

10,000  = 2500R

          

⁴10,000  = 2500R

  2500       2500

Hence the interest rate was Tsh 4%

TRY THIS……………….

Kibonde deposited the amount of 60,000/= in a bank for 6 years and got a profit of 7200/=. Find the interest rate?