Question

Klein opened a savings account that paid 5% simple interest with 6,000 in principal. If Klem left that money untouched in the account for ten years,then how much interest with he have earned?

Answer 1

I= $3,000

Explanation:

Giving the following information:

Klein opened a savings account that paid 5% simple interest with 6,000 in principal.

Number of periods= 10 years

To calculate the interest earned, we need to use the following formula:

I= P*r*t

P= principal

r= interest rate

t= time

I= 6,000*0.05*10

I= $3,000