Question

Linda uses the simple interest formula to calculate the interest fee on her recent loan. Her interest rate is 5%.What value will Linda use for r, interest rate, in her calculation?

Answer 1

Since the interest rate is 5%. She needs to express the percentage as a decimal.

In order to do it, she needs to divide 5 by 100, so:

$\frac{5}{100}=0.05$

Answer:

r = 0.05