An account earns simple interest. Find the annual interest rate.
I= $30
P= $250
t= 3 years
P*r*t = I.
250 * r * 3 = 30.
750r = 30,
r = 0.04 = 4%.
An account earns simple annual interest.
$350 at 3% for 10 years
a. Find the interest earned.
$
b. Find the balance of the account.
$
None
To find the annual interest rate, we can use the formula for simple interest:
I = P * r * t
Where:
I = Interest earned
P = Principal amount (initial investment or loan amount)
r = Annual interest rate (as a decimal)
t = Time in years
Given:
I = $30
P = $250
t = 3 years
We can rearrange the formula to solve for the interest rate (r):
r = I / (P * t)
Substituting the given values, we have:
r = 30 / (250 * 3)
r = 0.04 or 4%
Therefore, the annual interest rate is 4%.
250 * 3r = 30
now solve for r, and express as a %