Question

ethan invested £500 in the bank for 2 years.
he earned £40 simple interest total.
what was the simple interest rate per annum

Answer 1

Answer:

4%

Solution,

Principal=£ 500

Time=2 years

Interest=£40

Rate=?

Now,

R=I*100/P*T

= 40*100/500*2

=4000/1000

=4%

Hope it helps

Good luck on your assignment

Answer 2

Answer:

$4\%$

Step-by-step explanation:

$p = 500 \\ r = x \\ t = 2$

$simple \ \: \: \: = \frac{prt}{100} \\ interest \\ \: \: \: \: \: \: \: \: \: \: \: \: \: \: \: 40= \frac{500 \times x \times 2}{100} \\ \: \: \: \: \: \: \: 40 \: \: \: \: \: \: \: \: \: = \frac{1000x}{100} \\ \frac{40 \times 100}{1000} = x \\ x = 4$