Answer:
18.65%
Explanation:
Cost = $12,300
Total Payment = $420 × 36
= $15,120
Difference in the cost and payment = $15,120 - $12,300 = $2,820
Interest rate is the ratio of the interest to the original cost of the item.
The interest is the difference between the amount paid and the actual cost.
Interest rate = ($2,820/$15,120) × 100%
= 18.65%
