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borishaifa [10]
3 years ago
7

Diane has $20 in a savings account that earns 5 % annually. How much will she earn in interest in 1 year?

Mathematics
1 answer:
natta225 [31]3 years ago
8 0

Answer:

$21

Step-by-step explanation:

Given data

Principal= $20

Rate = 5%

time= 1 year

Required

The final amount A

Applying the simple interest formula

A= P(1+rt)

substitute

A=20(1+0.05*1)

A=20(1.05)

A=20*1.05

A=$21

Hence she will earn $21

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