135k views
3 votes
Marco deposited $500 in a savings account earning 4% interest over 5 years.

What was the total amount of interest earned at the end of 5 years?

A.$40

B.$50

C.$100

D.$200

1 Answer

7 votes
The total amount of interest earned by Marco at the end of 5 years is $100 which is letter C. Below is the solution:

Given: p = $500 deposit
r = 4% interest
t = 5 years term

Formula:
i = prt (principal x rate x term)
i = $500 x .04 x 5
i = $100
User Piotr Kruczek
by
8.0k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories