Question

Erin deposited $900 in a new account. After 3 years, she earned $54 in interest. What was her annual interest rate?

Answer 1

Answer:

O.5

Step-by-step explanation:

Principal (P): $900.00

Time. (T) :3 years

Interest. (l ) :$54

Rate. (R): ?

R= P × T

100 × l

R= $900.00 × 3years

100 × $54

R= $9.00 × 3years

$54

R= $27

$54

R= 0.5

Therefore annual interest rate is 0.5