Question

You deposit $880 in a savings account paying 4% simple interest.

Answer 1

Answer:

interest earned is $176

Step-by-step explanation:

Interest = Principal x Rate x Time

I = 880 x .04 x 5

I = 176

Answer 2

Answer:

$176

Step-by-step explanation:

Simple interest  = P ( initial money )*r (rate ) *t ( time )

P = $880

r = 4% = 0.04

t = 5 years

Simple interest  = 880 * 0.04 * 5 = $ 176

Interest you earn in 5 years is $176.