2) The line that passes through (1,-5) and has a slope of 3 (in point-slope form)
The annual interest rate of cd was 1.75.
Simple interest is the interest calculated on the principal portion of a loan or the original contribution to a saving amount.
S.I = (P × R × T)/100
Where,
S.I is the simple interest
P is the initial principal balance
R is the interest rate
T is the time in years
According to the given question
We have
Simple Interest, SI = $980
Initial principal balance, P = $7000
Time, T = 8 years
Therefore, the annual interest rate for cd is given by
⇒
⇒
Hence, the annual interest rate of cd was 1.75.
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