Question

Billy invests £800 for 5 years in savings account By the end of the years he has received a total of £96 simple interest Work out the annual rate of simple interest

Answer 1

Answer: 2.4%

Explanation:

SI = prt / 100

96 = ( 800 x r x 5) / 100

96 = 40r

r = 96 / 40 = 2.4%