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8 July, 10:02

If the simple interest on $5000 for 8 years is $2000. then what is the rate?

The rate is %?

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  1. 8 July, 10:47
    0
    Rate of Interest is 5%.

    Step-by-step explanation:

    Step 1: Given details are Principal (P) = $5000, Simple Interest (SI) = $2000, Time (T) = 8 years Step 2: Calculate rate of Interest (R) by substituting values in the formula for SI = PRT/100

    ⇒ 2000 = 5000 * R * 8/100

    ⇒ 200 = 40 R

    ⇒ R = 5%
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