*Loan,banking and credit>>>auto loan

The interest rate of an auto loan was 7 7/8 last month. This month the interest rate is 9 3/4...?

HOW MANY PERCENTAGE POINTS HAS THE INTEREST RATE INCREASED? Please explain :)

3/4 = 6/8
9 6/8 - 7 7/8 = 78/8 - 63/8= 15/8 = 1 7/8

The interest rate is 1 7/8 % higher

Hope that helps. Good luck.

the interest rate increased from 7 7/8 to 9 3/4, so it increased 1 7/8 or 1.875

now you have to figure out what percent of 7 7/8 is 1 7/8

divide 1.875 by 7 7/8, and then multiply by 100

1.875 / 7.875 * 100 = 23.8

so 7 7/8 increased 23.8%
went up 1.5 percent

.125
.25
.375
.50
.625
.75
.875
1.00