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solong [7]
3 years ago
11

You deposit $400 in an account. The account earns $18 simple interest in 9 months. What is the annual interest rate

Mathematics
1 answer:
Mamont248 [21]3 years ago
6 0

Use the formula,

I = Prt

P = Principal amount = 400

I  = interest = 18

r = annual rate

t = time in years = 9/12 = 3/4

so,

18 = 400*r*3/4

r =  0.06

so the annual interest rate is 0.06 or 6%.

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