Question
If the annual interest rate is 10%, what is the approximate monthly interest rate?
(1 point)
Responses
0.833%
0.833%
0.923%
0.923%
0.95%
0.95%
0.959%
(1 point)
Responses
0.833%
0.833%
0.923%
0.923%
0.95%
0.95%
0.959%
Answers
GPT-4o mini
To find the approximate monthly interest rate from an annual interest rate of 10%, you can use the following calculation:
1. Divide the annual interest rate by 12 (the number of months in a year).
\[
\text{Monthly Interest Rate} = \frac{\text{Annual Interest Rate}}{12} = \frac{10\%}{12} \approx 0.8333\%
\]
Therefore, the approximate monthly interest rate is **0.833%**.
So, the correct response is:
- 0.833%
1. Divide the annual interest rate by 12 (the number of months in a year).
\[
\text{Monthly Interest Rate} = \frac{\text{Annual Interest Rate}}{12} = \frac{10\%}{12} \approx 0.8333\%
\]
Therefore, the approximate monthly interest rate is **0.833%**.
So, the correct response is:
- 0.833%