Question

You deposit $1,000 in a savings account that earns 0.5% each month. Assuming you do not deposit or withdraw any money from the account, how much will you have in the account after 3 years?

Answer 1

0.5% is 5$ so 5$ x 12 = 60 60 x 3 is 180 180 is your answer

Answer 2

The equation for that is:

x(dollar amount) · y(time in years it was in the bank) · z(percent of interest as a decimal)

Lets fill in the numbers:

1000 x 3 x .005 = 15

Add the 15 to the total and the final answer is:

$1015

Hope this helps!