Question

An account earns simple interest. Find the annual interest rate.

I= $30

P= $250

t= 3 years

Answer 1

4% = r

Explanation:

I = PRT

where I is the interest, P is the principle R is the rate, T is the time

30 = 250 *r* 3

30 = 750r

Divide each side by 750

30/750 = 750r/750

.04 = r

Changing to percent form

4% = r