Question

Marks granparents deposited 1,200$ into an account when he was born how much interest will the account have earned after 18 years at a 1.5% simple interest rate

Answer 1

Answer: $342

Explanation:

Formula : Simple interest = Principal amount x time x rate

Given: Principal amount = $1,200

r= 1.5% = 0.015 [divide percentage by 100 to remove %]

t= 18 years

Simple interest = 1200 (18)(0.015) = $324

Hence, the interest earned in the account after 18 years = $342