You deposit $70 in a savings account that pays an annual interest rate
of 3%. How much simple interest would you earn in 2.5 years?
70 * 0.03 * 2.5 =
23*81*12=12*23*n
To calculate the simple interest earned, we can use the formula:
Simple Interest = Principal × Rate × Time
In this case, the principal (P) is $70, the rate (R) is 3%, and the time (T) is 2.5 years.
Plug in the values into the formula:
Simple Interest = $70 × 0.03 × 2.5
Simplify the calculation:
Simple Interest = $70 × 0.075
Calculate the result:
Simple Interest = $5.25
Therefore, you would earn $5.25 in simple interest over 2.5 years.
To calculate the simple interest earned on a savings account, you can use the formula:
Simple Interest = Principal * Rate * Time
In this case, the principal is $70, the rate is 3% (or 0.03), and the time is 2.5 years. Plugging these values into the formula, we can calculate the simple interest earned as follows:
Simple Interest = $70 * 0.03 * 2.5
Now, let's solve this equation step by step:
1. Multiply 70 by 0.03:
70 * 0.03 = $2.10
2. Multiply the result by 2.5:
$2.10 * 2.5 = $5.25
So, you would earn a simple interest of $5.25 in 2.5 years.