Question

An account earns simple interest. Find the annual interest rate. Interest = $60 principle = $500 time = 2 years Please help!!

Answer 1

A = $560.00

Explanation:

I = A - P = $60.00

Formula:

`A = P(1 + rt)`

First, converting R percent to r a decimal

r = R/100 = 6%/100 = 0.06 per year.

Solving our equation:

A = 500(1 + (0.06 × 2)) = 560

A = $560.00

The total amount accrued on a principal of $500.00 at a rate of 6% per year for 2 years is $560.00.