Question

Boris deposits $400 into an account that pays simple interest at a rate of 2% per year. How much interest will he be paid in the first 4 years

Answer 1

simple interest formula= principle x rate x time
principle= $400
rate= 2% or 0.02
time= 4 years
so, SI= 400*0.02*4
SI= $ 32
Boris will pay an interest amount of $32