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nexus9112 [7]
4 years ago
12

you deposited $2000 in an account. The account earns $120 simple interest in 18 months. What is the annual interest rate

Mathematics
1 answer:
Semenov [28]4 years ago
8 0
Use the formula for simple interest:

i = p* r* t

Here, $120 = $2000*r* (18/12 years)

                   $120
Then  r = ------------------ = 0.04.  That's 4% per year.
                  $2000(1.5)
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