A $5000 investment earns $550 annual simple interest in one year. What is the annual interest rate?
2 answers:
550=5000r,,r=0.11*100=11%
<span>I = prt
1) nope: since she earned 1536, that is your interest (I)
1536 = p*0.04*8
1536 = 0.32p
1536/0.32 = 0.32p/0.32
p = $4800
2) 550 = 5000*r*1
550/5000 = 5000r/5000
0.11 = r = 11%</span>
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