Answer: 0.05
Explanation:
1) Re-arrange the formula given to find the rate (r)
I = Prt
becomes r = I / Pt
Now we add in the values we know
P = 3000, t = 3 years, I = 450
r = 450 / ( 3000 × 3 )
r = 0.05 or 5% / year
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