Question

Parker invests $1000 for 5 years at a simple rate of 10%.

A. How much interest will Parker earn after 5 years?

B. What will be the total amount that Parker will have after 5 years?

Answer 1

SI=PTR/100

= 1000×5×10/100

=$500

Parker will receive $500 as interest.

Amount=$500+$1000

=$1500

Parker will have $1500 altogether.