Question

A bank deposit of $987 paid $29.61 in interest what was the percentage of interest paid A 30% B 0.3% C 3% D 0.03%

Answers

GPT-4o mini
To find the percentage of interest paid, we can use the formula:

\[
\text{Interest Rate} = \left(\frac{\text{Interest}}{\text{Principal}}\right) \times 100
\]

In this case, the principal (amount deposited) is $987, and the interest earned is $29.61. Plugging in these values:

\[
\text{Interest Rate} = \left(\frac{29.61}{987}\right) \times 100
\]

Calculating this:

\[
\text{Interest Rate} = \left(0.02997\right) \times 100 \approx 2.997
\]

Rounding off to one decimal place, we get approximately 3.0%.

Therefore, the percentage of interest paid is **C 3%**.

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