2006-12-12 09:50:41 · 4 answers · asked by Nicole S 1 in Business & Finance ➔ Credit
Interest is $275 for $2500 for 1 yr. Interest would be 275/2500, or 11%. That assumes repayment of both at end of year.
2006-12-12 09:54:29 · answer #1 · answered by dollhaus 7 · 0⤊ 0⤋
LOL! The question is too vague to give a definitive answer. From the wording, one could assume that the loan was a bullet and so the 11% would be correct. "This is a loan which mean there will be a payment over the the course of a year" is, I am sorry to say, completely wrong. This is an assumption. And before you think that you are too clever, what about the daycount basis of the loan? And the frequency of payment?
2016-05-23 15:50:45 · answer #2 · answered by Anonymous · 0⤊ 0⤋
It depends if compounded interest is involved. If it's simply a one-off interest charge, charged only once, it would be 11%, as previous answerer said.
Interest amount divided by loan amount = interest rate
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2006-12-12 09:59:09 · answer #3 · answered by Anonymous · 1⤊ 0⤋
2.75%
2006-12-12 09:54:39 · answer #4 · answered by Haven17 5 · 0⤊ 2⤋