Subjects algebra

Interest Commission

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Interest Commission


1) **Problem:** Calculate the interest earned on a savings deposit of 17800 at an annual interest rate of 5.5% after 3 years. **Given:** - Principal, $P = 17800$ - Rate of interest, $r = 5.5\% = 0.055$ - Time, $t = 3$ years **Steps:** 1. The formula for simple interest is $$I = P \times r \times t$$. 2. Substitute the values: $$I = 17800 \times 0.055 \times 3$$. 3. Calculate: $$I = 17800 \times 0.165 = 2937$$. **Final Answer:** The interest earned is $2937$. 2) **Problem:** Find the rate of commission if Jerry sold mangoes for 7500 and received a commission of 637.5. **Given:** - Commission amount, $C = 637.5$ - Total sales, $S = 7500$ **Steps:** 1. The formula for commission rate is $$\text{Rate} = \left(\frac{C}{S}\right) \times 100\%$$. 2. Substitute the values: $$\text{Rate} = \left(\frac{637.5}{7500}\right) \times 100\%$$. 3. Calculate the fraction: $$\frac{637.5}{7500} = 0.085$$. 4. Multiply by 100: $$0.085 \times 100\% = 8.5\%$$. **Final Answer:** The rate of commission is $8.5\%$.