What Rate of Interest Is Paid If the Interest on a Loan

question 115

Essay

What rate of interest is paid if the interest on a loan of $15 000.00 is $2000.00 from January 31, 2014 to May 31, 2014?

---

Definitions:

Immediate Market

A marketplace or environment where transactions occur directly and without delay, allowing for the quick exchange of goods or services.

Industry

A sector of the economy that includes businesses and organizations that produce similar goods or services.

Economic Costs

The sum of explicit and implicit costs which represent the total opportunity costs of resource utilization in the production of goods or services.

Opportunity Costs

The loss of potential gain from other alternatives when one alternative is chosen.