The interest on $2,000 for 2 years is $320. What is the simple interest rate?

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8. The interest on $2,000 for 2 years is $320. What is the simple interest rate? $ [ ] = $2,000 * r * [ ] $ [ ] = $ [ ] * r [ ] = r % = r

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Solution: Use the simple interest formula: I = P * r * t, where I = interest, P = principal, r = rate, t = time. Given: I = $320, P = $2,000, t = 2 years. Substitute the values into the formula: $320 = $2,000 * r * 2. Solve for r: $320 = $4,000 * r. r = $320 / $4,000 = 0.08. Convert r to a percentage: r = 0.08 * 100 = 8%. Answer: The simple interest rate is 8%.

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The interest on $2,000 for 2 years is $320. What is the simple interest rate?

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