Question

jorden linvested $800 in a savings account. The intest rate id 6%per. Find the simple intrest earned in 3 years. then find the total prinabal plus interst

Answer 1

• interest: $144
• principal plus interest: $944

Explanation:

The amount of interest is found using the simple interest formula. That is added to the principal to find the total account balance.

__

Interest

I = Prt . . . . . P = principal, r = annual rate, t = number of years

I = $800·0.06·3 = $144

The simple interest earned in 3 years is $144.

__

Principal plus interest

Adding that to the principal gives ...

$800 +144 = $944

The total principal plus interest is $944.