Answer:
[tex]3\%[/tex]
Step-by-step explanation:
we know that
The simple interest formula is equal to
[tex]I=P(rt)[/tex]
where
I is the Final Interest Value
P is the Principal amount of money to be invested
r is the rate of interest
t is Number of Time Periods
in this problem we have
[tex]t=8\ years\\ P=\$12,000\\I=\$2,880\\r=?[/tex]
substitute in the formula above
[tex]2,880=12,000(8r)[/tex]
Solve for t
[tex]2,880=96,000(r)[/tex]
[tex]r=2,880/96,000[/tex]
[tex]r=0.03[/tex]
Convert to percent form
[tex]0.03*100=3\%[/tex]
