Question

You deposit $800 in a bank account for 2 years that earns a 4% simple interest.

How much interest is earned on the bank account?
How much money is in your bank account after 2 years?

Answer 1

Explanation:

P = $ 800

r = 4%

t = 2 years

`Interest=(Prt)/(100)\\\\=(800*4*2)/(100)\\\\=8*4*2`

= $64

Money in the bank after 2 years = 800 + 64 = $864