If the principal invested in a bank at an annual interest rate of 6% is $3,000, the interest that will accumulate on the principal after a year will equal
A)$180.
B)$300.
C)$500.
D)$700.

Question

Quizplus · Accepted Answer

The interest can be calculated using the formula I = PRT, where I is the interest, P is the principal, R is the rate (in decimal form), and T is the time in years. Here, P = $3,000, R = 6% = 0.06, and T = 1 year. So, I = 3000 * 0.06 * 1 = $180.

If the Principal Invested in a Bank at an Annual