Question

1.Calculate the Interest Rate

Interest: $38.88
Principal: $72
Time: 3 years
a. 18
b. 19.2%
c. 24%
d. 26.1%

Answer 1

a. 18%

Explanation:

Interest: $38.88

Principal: $72

Time: 3 years

Interest rate = x

• 72*3x = 38.88
• 216x = 38.88
• x = 38.88/216
• x = 0.18 = 18%

Correct choice is a. 18%