Answer:
The rate is 6.94 %
Step-by-step explanation:
Given;
Amount borrowed by Fred to start up the e-commerce, P = 15000
time of investment, t = 12 years
interest, I = 18000
The rate is given by the following equation;
P = IRt
R = P / It
where;
R is the rate
P is the principal
I is the interest
t is the time
R = (15000) / (18000 x 12)
R = 0.0694
R = 6.94 %
Therefore, the rate is 6.94 %
