If money is invested for a short period of time, simple interest is paid using the following formula. I = Prt

P is the money invested, or principal amount, r is the simple interest rate, and t is the time, in years, the money is invested.

Given P = $2,000, t = 2 years, and I = $280, what is the simple interest rate?

A. 7%

B. 0.7%

C. 8%

D. 0.07%

A. 7%

Step-by-step explanation:

Given the following data;

Principal, P = $2,000

Time, T = 2 years

Simple Interest, I = $280

To find the simple interest rate, R?

Mathematically, simple interest is calculated using this formula;

Where;

Substituting into the equation, we have;

Cross-multiplying, we have;

Simple interest rate, R = 7%

what is all that apply?

step-by-step explanation:

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