Question

After 1 year, $800 deposited in a savings account with simple interest had earned $64 in

interest. What was the interest rate?
Use the formula i = prt, where i is the interest earned, p is the principal (starting amount),
is the interest rate expressed as a decimal, and t is the time in years.

Answer 1

8%

Explanation:

We will use the equation provided to solve this problem.

`I=Prt`

Lets plug in the values:

`64=800x(1)` First, divide both sides by 800.

`.08=x(1)` Multiply x by 1

`x = .08`

Now, we multiply .08 by 100 to get our interest rate:

(.08)100 = 8

The interest rate is 8%