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abruzzese [7]
3 years ago
11

How much interest is earned on a principal of $316 invested at an interest rate of 9%

Mathematics
1 answer:
anzhelika [568]3 years ago
4 0

Answer:

$130.06

Step-by-step explanation:

Interest is calculated as shown;

I = A - P

A is the amount

P is the principal

Given

Principal = $316

Rate R = 9% = 0.09

Time t = 4yrs

Substiutte and get Amount A

A  =P(1+r)^n

A = 316 (1+0.09)^4

A = 316(1.09)^4

A = 316(1.4116)

A = 446.06

Interest = 446.06 - 316

Interest = 130.06

Hence the interest is $130.06

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