Answered

you have $550 in a savings account that earns 3% simple interest each year . how much will be in your account in 10 years?

Verified Answer :

In 10 years that'd be .3% interest, so just multiply it by 550. Then add your answer to 550. So your answer would be 665.

JeanaShupp

Answer: $715


Step-by-step explanation:

Given : Principal amount (P)= $550

Interest rate (r)= 3%\(=\frac{3}{100}=0.03\)

Time period (t) =10 years

WE know that the formula of simple interest is

\(S.I.=P\cdot\ r\cdot\ t\)

\(\\\Rightarrow\ S.I.=550\cdot0.03\cdot10\\\Rightarrow\ S.I.=\$165\)

Now, the total amount in account after 10 years = Principal+ S.I.

Therefore, the total amount in account after 10 years =\(\$550+\$165=\$715\)

Related Questions