Posted by Jordan on .
Erin Grabish recevied $2,000 for speaking at a financial planning seminar. Erin invested the money in a certificate of deposit for 2 years. When she redeemed the certificate of deposit, she received $2166. What simple interest rate did Erin receive on this certificate of deposit?

algebra interest word problem 
Reiny,
this problem has the same structure as the one I answered for you 4 minutes ago.
The only difference is that one has to conclude that the amount of interest is $166
let me know what rate you got. 
algebra interest word problem 
Jordan,
i don't know how to work it. didn't work out.

algebra interest word problem 
Reiny,
Just like before
R = I/PT
= 166/(2000x2)
= 166/4000
= .0415
= 4.15% 
algebra interest word problem 
Jordan,
its $2166 NOT $166

algebra interest word problem 
Reiny,
She deposited 2000 and got back 2166
how much did she make ?
Isn't that the interest ? 
algebra interest word problem 
Jordan,
i don't know