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

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Guest Apr 28, 2015

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Best Answer

I = Prt, so r = I / (Pt)

t = 9 months / 12 months = 0.75

r = $18 / ($400 * 0.75) = 0.06, or 6%

Guest Apr 28, 2015

Guest · Answer 1 · 2015-04-28T01:58:04

I = Prt, so r = I / (Pt)

t = 9 months / 12 months = 0.75

r = $18 / ($400 * 0.75) = 0.06, or 6%