Question

Mr. Berber owns a $20,000 government bond that pays interest at an annual rate of 8%. Which expression below shows how many dollars he will receive as a quarterly interest payment?

Answer 1

Answer: (2)

Explanation:

His yearly interest amount would be 20000(0.08).

His quarterly interest amount would be
`(20000(0.08))/(4)`, since one year has 4 quarters.