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#### bergausstein

##### Active member

- Jul 30, 2013

- 191

8.25%. At the end of one year, the firm repays a total of

\$3997.75. How much did the secretary lend the firm and

what is the simple interest rate on the total loan?

let

$y=$ additional money lent

$1000+y =$ total amount of money lent.

$1000(0.075)+0.0825y=3997.75$

$0.0825y=3997.75-75$

$y=47,548.48$ - additional money lent.

$1000+47,548.84 = 48548.48$ total amount of money lent.

$\frac{3997.75}{48548.48}=0.823=8.23\%$ interest rate on the total loan.

i just want to confirm if my solution is correct. thanks!