How much simple interest does 3000 yield in 2years at 8whole number 1over3%per annum
To solve the problem, we need to use the formula for simple interest:
Simple Interest = (Principal x Rate x Time) / 100
Where:
Principal = 3000 (the amount of money invested)
Rate = 8 1/3% per annum = 8.33% per annum
Time = 2 years
First, we need to convert the rate from a mixed number to a decimal. To do this, we need to add the whole number and the fraction:
8 + 1/3 = 8 1/3
= (8 x 3 + 1) / 3
= 25/3
So, the rate in decimal form is:
25/3% = 0.0833
Now, we can substitute the values into the formula:
Simple Interest = (3000 x 0.0833 x 2) / 100
= 499.80
Therefore, the simple interest earned on 3000 for 2 years at 8 and 1/3% per annum is 499.80.
To calculate simple interest, you can use the formula:
Simple Interest = Principal * Rate * Time
Given:
Principal (P) = $3000
Rate (R) = 8 1/3% = 8 1/3 / 100 = 25/3 / 100 = 0.0833 (approx.)
Time (T) = 2 years
Using the formula, we can calculate the simple interest as follows:
Simple Interest = 3000 * 0.0833 * 2
Calculating this expression:
Simple Interest = $499.80 (rounded to the nearest cent)
Therefore, the simple interest earned on $3000 in 2 years at a rate of 8 1/3% per annum would be approximately $499.80.