Answer:
£81
Step-by-step explanation:
Given the following
Principal = £4500
Rate = 1.8%
Time = 3 years
Required
Annual simple interest
GEt the interest for the whole period first
SI = PRT/1pp
SI = 4500*1.8*3/100
SI = 45 * 1.8 * 3
SI = 243
Annual simple interest = Simple interest/Total number of years
Annual simple interest = 243/3
Annual simple interest = 81
Hence the annual simple interest is £81
