Question

Joni earned $0.625 per day for two days as interest on her $1,000.00 investment. What percent interest did she earn in total? Give your answer to three decimal places.

Answer 1

Joni’s total interest earned is 0.125% of her investment.

Solution:

Given that

Interest earned by Joni per day = $0.625

Investment done by Joni = $1000

Duration of earning interest = 2 days  

Total interest earned = interest earned by Joni $\times$ duration of interest earned.

= 0.625 $\times$ 2 = $1.25

$\text { Percentage of interest earned }=\frac{\text {total interest earned}}{\text {investment done}} \times 100$

$=\frac{125}{1000} \times 100=0.125 \%$

So Joni’s total interest earned is 0.125% of her investment.