Question

Erika's parents gave her $500 for her high school graduation she put the money into a savings account that earns 7.5% annual interest she left the money in the account for 9 months before she withdrew it.

how much interest did the account earn if it interests what is paid monthly

Answer 1

Answer:
`\$28.13`

Explanation:

The interest (simple interest)
`I` is calculated by:

`I=(P)(r)(t)`

Where:

`P=\$500` is the principal

`r=7.5\% annual=0.075 annual` is the percent of the principal that is paid over a period of time (yearly in this case).

`t=(9)/(12)` is the time, since we are told the money was left in the account for 9 months of the 12 months a year has.

`I=(\$500)(0.075)((9)/(12))`

`I=\$28.125 \approx \$28.13`

Answer 2

Answer:$28.12

Explanation:

Simple interest in it’s simple form is I=PxRxT OR I=PRT

The P is stood for the Principle and the Principle in this situation is the $500.

the R is stood for Rate, the rate in this situation is the 7.5% but we must convert that percentage into a decimal which will now be 0.075.

the T is stood for time in this situation it is the 9 months, since it is months and not years we put the 9 over 12, 9/12 because 12 months are in a year.

now we must do the form I=PxRxT

Which is I=500x0.075x9/12

The answer for that is 28.12

So 28.12 is the Interest