Question

Avery made $225 in interest by placing $6,000 in a savings account with simple interest for 3 months. What was the interest rate?

Answer 1

3.75%

Explanation:

To find the interest rate, you can use the formula:

Interest Rate = Interest / Principal x Time

In this case, the principal is $6,000, the interest is $225, and the time is 3 months. So plugging these values into the formula, you get:

Interest Rate = 225 / 6000 x 3

To get the interest rate, you need to divide the interest by the principal, which gives you 0.0375.

Then multiply that by 100 to get the percentage, so the interest rate is 3.75%.

Hope this helps!