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vovangra [49]
3 years ago
8

PLZ HELP FAST the bank at which shareko deposits his money pays 5 1/4 % simple interest annually . How much interest will he ear

n on a deposit of $300.00 left in the account for six months ? what will be the balance in the account at the end of this time.
Mathematics
1 answer:
NemiM [27]3 years ago
6 0

Answer:

Step-by-step explanation:

Simple interest rate applies only to the principal amount deposited and not the compounded amount. The formula for simple interest is expressed as

I = PRT/100

Where

I is the interest.

P is the principal or initial amount deposited.

R is the interest rate.

T is the duration in years.

From the information given,

P = $300.00

R = 5 1/4% = 5.25%

T = 6 months = 0.5 years

Therefore,

I = (300×5.25× 0.5)/100 =787.5/100

I = 7.875

The balance in the account at the end of this time will be

300 + 7.875 = $307.875

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