Question

Carlos makes a deposit of $945 in his bank account. 2 years later, his account balance was $1,030.05. What is the interest rate of his savings account?

Answer 1

The simple interest rate can be found from
.. I = Prt
.. 1030.05 -945.00 = 945*r*2
.. 85.05/(2*945) = r = .045 = 4.5%