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16 votes
16 votes
Dexter deposits $200 in a bank account that earns 3% simple intrest.How much money will he have in the account after 1 year

User Michuk
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1 Answer

9 votes
9 votes

Answer:

$206

Explanation:

The amount that would be in the account = amount deposited + interest earned on deposit

interest earned on deposit can be determined by determining the simple interest

Simple interest = principal x time x interest rate

principal = the amount deposited = $200

Time = the duration of the deposit = 1 year

interest rate = the percentage on deposit that would be earned = 3%

200 x 0.03 x 1 = $6

The amount that would be in the account = $200 + $6 = $206

User Nightstand
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