Jamerra received a $3000 car loan. she plans on paying off the loan in 2 years, jammerra will have paid $450 in interest. what is the simple interest rate on the car loan?

Jammera received a $3000 car loan.

She’ll be paying this for 2 years with an interest of 450 dollars.

Let’s find out the interest rate that was charge to Jammera’s car loan.

=> 3 000 dollars * 0.5 = 1500, thus, we’re sure that the interest rate is less than 50%

=> Let’s try 25%

=> 3000 *.25 = 750 (interest rate is also less than 25%)

=> Let’s try 15%

=> 3000 x. 15

=> 450 dollars

Thus, the interest rate is 15% for 2 years.