Question

Oliver has $800 in a savings account. The interest rate is 13% per year and is not compounded. How much. will he have in total in 5 years?

Answer 1

Answer: For this kind of questions, you are using simple interest, right?. Here will be the answer

Formula of Simple Interest is....

SI= principle x rate x time

1) Principle (money): 800

Rate: divide 31 by 100, it will be 0.31

Time: 5 years

2) Equation: 800 x 0.31 x 5

3) You get the final answer of... 1240

Hope this helped. Remember... know the formula for these kind of situations :)