Question

simple interest = P × r × t Perry earns 5 percent simple interest annually on his savings account. How much interest will Perry earn each month on $650?

Answer 1

P = $650
r = 5% annually = 0.05
t = 1 month = 1/12 year

SI = Prt = 650 * 0.05 * 1/12 = $2.7