Use the Formula $I = P r t$ To Reach a Solution for the Following Problem

question 18

Multiple Choice

Use the formula $I = P r t$ to reach a solution for the following problem.
One month a credit card company charged $9.27 in interest on a balance of $3,708 . What annual interest rate is the credit card company charging?

• A) 5%
• B) 3.5%
• C) 2%
• D) 3%
• E) none of these

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Definitions:

Simplify

Simplifying something involves breaking it down into its fundamental elements to make it easier to comprehend and less complex.

Numerical Coefficient

The numerical factor in a term.

Like Terms

Terms in an algebraic expression that have the same variables raised to the same power, and therefore can be combined.

Simplify

To make something less complicated or easier to understand, often by reducing it to its basic components.