Question

Cameron puts $500 into abank
account. If he leaves the
money untouched with a simple
interest rate of 5% for 18
years how much money is in his
account?​

Answer 1

$ 950 is in account after 18 years

Solution:

Given that,

Principal = $ 500

Rate of interest = 5 %

Number of years = 18

The simple interest is given as:

$I = \frac{p \times n \times r}{100}$

Where,

p is the principal

n is the number of years

r is the rate of interest

Therefore,

$I = \frac{500 \times 18 \times 5}{100}\\\\I =25 \times 18\\\\I = 450$

How much money is in his  account?​

Amount = principal + simple interest

Amount = 500 + 450

Amount = 950

Thus $ 950 is in account after 18 years