Question

You deposit $140 in a bank account that pays an annual interest rate of 3.5%.

How much simple interest will you earn after one year? Show your work.

Answer 1

$4.90

Explanation:

Simple Interest = Principle x interest rate x time period

Principle = $140

Interest rate = 3.5% or .035

time = 1 year

interest = 140 x .035 x 1

interest = $4.90

I hope this helps!

-TheBusinessMan