Edin has £300 in his savings account.his bank offers him 5% simple intrest rate ped annum for a period of 3 years.how much intre st will he make after 3 years
1 answer:
Answer:
$45
Step-by-step explanation:
We are given the following information;
Money invested (Principal) is $300 Rate of interest is 5% per annum Time the money is invested is 3 years We need to determine the amount of interest the money will earn after three years.
Simple interest is calculated by the formula; Simple interest =(PRT) ÷ 100, Where P is the principal amount, R is the rate of interest and T is the time. Therefore, in this case;
Simple interest = ($300 × 5 × 3) ÷ 100
= $45
Thus, the money invested earned a simple interest of $45
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