Shania deposited $3,000 into a savings account that earns 6.5% simple interest. How much will Shania have in her savings account after 10 years?
using the formula which you surely have seen,
3000(2 + .065*10)
To calculate the amount Shania will have in her savings account after 10 years with 6.5% simple interest, we will use the formula for calculating simple interest:
Simple Interest = Principal * Interest Rate * Time
In this case, the principal (initial deposit) is $3,000, the interest rate is 6.5% (which can be written as 0.065 in decimal form), and the time period is 10 years.
Using the formula, we can calculate the simple interest earned:
Simple Interest = $3,000 * 0.065 * 10 = $1,950
Now, to find the total amount in Shania's savings account after 10 years, we add the simple interest to the principal:
Total Amount = Principal + Simple Interest = $3,000 + $1,950 = $4,950
Therefore, Shania will have $4,950 in her savings account after 10 years.
To calculate the amount Shania will have in her savings account after 10 years with a simple interest rate of 6.5%, you can use the formula:
A = P(1 + rt)
Where:
A = Amount after time t
P = Principal amount (initial deposit)
r = Interest rate (in decimal)
t = Time period in years
In this case, the principal amount (P) is $3,000, the interest rate (r) is 6.5% or 0.065 (converted to decimal), and the time period (t) is 10 years.
Let's calculate:
A = $3,000(1 + 0.065 * 10)
A = $3,000(1 + 0.65)
A = $3,000 * 1.65
A = $4,950
After 10 years, Shania will have $4,950 in her savings account.