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alexgriva [62]
3 years ago
6

Gavin deposited $516 into a special savings account that earns 6.25% interest after 1 year. If Gavin doesn’t deposit any money i

nto the account or withdraw any money from the account, how much interest will he earn after the first year?
Show your work.
Mathematics
1 answer:
tiny-mole [99]3 years ago
6 0

Answer:

The amount of interest earned after a year is $32.25

Step-by-step explanation:

In this question, we are asked to calculate the amount of interest generated by depositing a sum into an account.

To calculate the interest earned, we use the simple interest formula.

Mathematically;

I = PRT/100

where I is the interest earned

R is the rate which is 6.25% according to the question

T is the time taken which is 1 year

P is the amount of money deposited also know. as the principal which is $516

Plugging these values we have

I = (516 * 6.25 * 1)/100 = $32.25

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