The rate of interest is 13%.
Step-by-step explanation:
Given,
Principal (P) = $560
Interest (I) = $145.60
Time (T) = 2 years
To find the rate of interest
Formula
If P principal was invested for T years at r% simple interest, the interest will be I = [tex]\frac{PTr}{100}[/tex]
So,
Putting the values of P, I, T we get,
145.60 = [tex]\frac{560X2Xr}{100}[/tex]
or, r = [tex]\frac{145.60X100}{2X560}[/tex]
or, r = 13%
Hence,
The rate of interest is 13%.
