Angel borrowed 15,000 pesos and paid back 16,800pesos at the end of three years, what is the simple interest rate given to angeli

To find the simple interest rate, we can use the formula for simple interest:

\[
A = P(1 + rt)
\]

Where:
- \( A \) is the total amount paid back (16,800 pesos)
- \( P \) is the principal or initial amount borrowed (15,000 pesos)
- \( r \) is the interest rate (what we are solving for)
- \( t \) is the time in years (3 years)

Rearrange the formula to solve for \( r \):

\[
r = \frac{A - P}{P \times t}
\]

Now, let's substitute the known values:

\[
r = \frac{16,800 - 15,000}{15,000 \times 3}
\]

\[
r = \frac{1,800}{45,000}
\]

\[
r = 0.04
\]

Convert this to a percentage:

\[
r = 4\%
\]

So, the simple interest rate given to Angel is **4%**.

Would you like more details on how we arrived at this solution or have any other questions?

Here are 5 related questions:
1. How does simple interest differ from compound interest?
2. What would the total amount be if the interest rate was 5% instead of 4%?
3. Can you calculate the interest Angel paid in pesos?
4. What would the interest rate be if the time was 5 years instead of 3?
5. How can we calculate the future value using compound interest?

**Tip:** Simple interest depends only on the original principal, not on the interest earned during the period.

Angel borrowed 15,000 pesos and paid back 16,800 pesos at the end of three years, what is the simple interest rate given to Angel?

Find the simple interest rate given to Angel who borrowed 15,000 pesos and repaid 16,800 pesos after 3 years. This problem covers the simple interest formula and basic algebraic concepts, suitable for students in Grades 6-8.

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