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MaRussiya [10]
3 years ago
14

Debbie has $460 in a savings account that earns 8% annually. If the interest is not compounded, how much interest will she earn

in 5 years?
A) $18.40
B) $36.80
C) $184.00
D) $644.00
Mathematics
2 answers:
Viktor [21]3 years ago
6 0
Compound interest means that the interest earned each year is added to the principal meaning that future interest is earned from the original amount + past interest.

In this case, it is NOT compounded meaning that we just have to find how much interested is earned in a year and multiply it by 5 years.

8% of $460 is 460*0.08 = 36.8

36.8*5 = 184

The answer is C) $184.00



anastassius [24]3 years ago
6 0
D)$644.00 is the correct answer
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