## GodBlessYou 2 years ago Darcy McMillan borrowed \$3,600 for 7 months nd had an interest charge of \$250. Find the approximate annual interest rate to the nearest tenth of a percent.

1. amistre64

250/7 is the per month interest ... so 12 of those equals a year

2. GodBlessYou

35.71?

3. amistre64

that was the interest per month; and for 12 months how much would that have been?

4. GodBlessYou

ok so then it would be \$428.52

5. amistre64

lets avoid truncating; it builds errors

6. amistre64

12*(250/7) = 428.5714; is better soo: 3600, times interest = 428.5714 divide each side by 3600 to determine the interest

7. amistre64

well, both ways are equal to 4 decimal places so i spose thats fine as well

8. GodBlessYou

I got 119047

9. amistre64

you missed your decimal .... but yeah

10. amistre64

so lets go with 11.9%

11. GodBlessYou

I thought you said 4 decimal places?

12. amistre64

428.52/3600 = 0.1190333333 428.5714/3600 = 0.119047619 both values are equal up to 4 decimal places: 0.1190

13. GodBlessYou

oh I see that makes logical sense. :) Thank you so much! :D I like when people show all the work so I can understand it verese giving me answers! :D

14. amistre64

youre welcome