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Mathematics 15 Online
OpenStudy (anonymous):

Trey deposits $400 into an account that pays simple interest at a rate of 5% per year. How much interest will he be paid in the first 4 years?

OpenStudy (amistre64):

I = prt I = 400(.05)(4) I = 1600(.05) I = 80.00

OpenStudy (amistre64):

simple interest is just interest generated by the principle amount and not any added cumulative build up of interest..

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