Question

Determine the simple interest. The rate is an annual rate. Assume 360 days in a year. p=$420,r=2.75%,t=5.25 years The simple interest is $ (Round to the nearest cent as needed.)

Answer 1

The simple interest for the given values is $57.93.

Step-by-step explanation:

The simple interest can be calculated using the formula:

Simple Interest = Principal * Rate * Time

Using the given values:

Principal (p) = $420

Rate (r) = 2.75% = 0.0275

Time (t) = 5.25 years

Substituting the values into the formula:

Simple Interest = $420 * 0.0275 * 5.25

Solving the expression:

Simple Interest = $57.925

Rounding to the nearest cent:

Simple Interest = $57.93