$640,3%,2 years

Question

Simple interest earned to the nearest cent for each principal,interest rate and time

Answer 1

Simple interest , I, is calculated by multiplying the principal, P, by the rate,r, by the time, t, in years:

I = P * r * t

Here, P = $640

r = 0.03 (decimal value for 3%)

t = 2 years

The interest will be:

I = P * r * t

I = 640 * 0.03 * 2

I = $38.40