Question

If Mary deposits $275 in principal at an interest rate of 3.2 percent, how much interest will she earn in one year

Answer 1

Answer: $8.80

Explanation:

Answer 2

Mary earns interest in one year is $88 .

Explanation:

Formula

`Simple\ interest = (Principle* rate* time)/(100)`

As given

If Mary deposits $275 in principal at an interest rate of 3.2 percent .

Principle = $275

Rate = 3.2%

Time = 1 year

Putting all the values in the formula

`Simple\ interest = (275* 3.2* 1)/(100)`

`Simple\ interest =(880)/(100)`

Simple interest = $88

Therefore the Mary earns interest in one year is $88 .