Question

Diana invested $3000 in a savings account for 3 years. She earned $450 in interest over that time period. What interest rate did she earn? Use the formula I=Prt to find your answer, where I is interest, P is principal, r is rate and t is time. Enter your solution in decimal form rounded to the nearest hundredth. Fr example, if your solution is 12%, you would enter 0.12.

Answer 1

0.05

Explanation:

Answer 2

0.05

Explanation:

we are given the formula

I = Prt, where

I = interest earned = $450

P = Principal amount = $3000

t = time = 3 years

r = rate (we are asked to find this_

Simply substitute the known values into the equation

I = Prt

450 = 3000 x r x 3

450 = 9000r

r = 450/9000

r = 0.05