Question

Use the simple interest formula to find the ending balance.

$1025 at 6.5% for 5 years.
Round your answer to the nearest cent.
Enter your answer in the box.

Answer 1

I=P*R*T
I - Interest
P - Principal (how much you invest) - $1025
Rate - Interest rate - 6.5% = . 065
T - Time - 5 years
I = 1025*.065*5

The interest is $333.13 (333.125 rounded)
The ending balance is interest+principal
$333.13+$1025=$1358.13

Ending Balance = $1,358.13