Problema Solution
David had $4000 invested for one-fourth of a year at a simple rate of 61%. How much did he earn?
Answer provided by our tutors
P = $4000 is the principal
r = 62% = 0.62 annual interest rate
t = 1/4 year
I = ? we need to find the interest I
I = P*r*t
I = 4000*0.62*(1/4)
I = $620
David earned $620.