Suppose that you borrow $2000.00 from a friend and promise to pay back $4150.00 in 5 years. What simple interest rate will you pay?

21.5%

Step-by-step explanation:

The Formula for Simple Interest is given as

Simple Interest = (Principal × Rate × Time) ÷ 100

In the above question, Principal = Amount you intend to borrow = $2,000

Rate = Unknown

We are told that You promise to pay back = $4,150

Time = 5 years

The Simple Interest is calculated as Amount - Principal

= $4,150 - $2,000

Simple Interest = $2,150

The Formula for calculating rate is derived from Simple Interest formula as:

Simple Interest = (Principal × Rate × Time) / 100

Cross Multiply

Simple Interest × 100 = Principal × Rate × Time

Rate = Simple Interest × 100/ Principal × Time

Rate = $2,150 × 100/ $2,000 × 5

Rate = 21.5%

Therefore, the simple interest rate you will pay = 21.5%

according to this law, when unemployment goes up by 1%, gdp drops by 2%. in the question, unemployment rate goes from 2% to 5%, meaning unemployment goes up by 3%, so the gdp drops by 6%. thus the effect is a drop in gdp by 6%.

step-by-step explanation: