Question

Sari put $1230 in a savings account at a simple interest rate of 4.5% per year. Avi put $1105 in a savings account at a simple interest rate of 5.5% per year. Who will have earned more interest after 4 years? How much more?

Answer 1

Avi

$21.61

Explanation:

I = Prt

Sari: I = Prt = $1230 × 0.045 × 4 = $221.40

Avi: I = Prt = $1105 × 0.055 × 4 = $243.01

$243.01 - $221.40 = $21.61

Answer:

Avi

$21.61