Question

On a deposit of $290 at a simple interest rate of 2.9%, how much will you earn after 5 years? $42.05 $43.50 $334.50 $420.50

Answer 1

your answer would be the third option

Explanation:

this is because you multiply 290 by .29 and then add the 290 to it and there you go.

Hope you get it right!!

Answer 2

Choice A is correct answer.

Explanation:

From question statement , we observe that

Principle,interest rate and time is given. We have to find the interest.

P = $290 , r = 2.9 % = .029 and t = 5 years

I = ?

The formula to find the interest is:

I = P×r×t where P is principle, r is interest rate and t is time.

putting the given values in above formula,we get

I = 290×0.29×5

I = $42.05 is the amount that you will earn after 5 years.