Question

Sean deposited $200 into an account, and earned $36 in interest after 3 years.

Use the formula 'I=prt' where 'I' represents simple interest,'p' represents principal,'r' represents interest rate, and 't' represents time in years.
What is the interest rate?
A.0.06
B.0.6
C.6.0
D. 60

Answer 1

1. I=prt
36 = 200 x r x 3
36 = 600r
r = 36/600
r = 0.06
r = 6%