Answer:
$5
Step-by-step explanation:
First, converting R percent to r a decimal
r = R/100 = 4%/100 = 0.04 per year,
putting time into years for simplicity,
3 months ÷ 12 months/year = 0.25 years,
then, solving our equation
I = 500 × 0.04 × 0.25 = 5
I = $ 5.00
The simple interest accumulated
on a principal of $ 500.00
at a rate of 4% per year
for 0.25 years (3 months) is $ 5.00.
