Question

mr jenkins deposited $1,250 into an account. He made no additional deposits or withdrawals. Mr.jenkins earned 4.25% annual simple interest on the money in the account.What was the balance in dollars and cents in Mr jenkings acount at the end of 4 years????

Answer 1

Given data:

The given principal amount is P=$1,250.

The given rate is r=4.25%.

The given time is t=4 years.

The expression for the ammount after 4 years is,

$A=\frac{P\times r\times t}{100}+P$

Substitute the given values in the above expression.

$\begin{gathered} A=\frac{(1250)(4.25)(4)}{100}+1250 \\ =212.5+1250 \\ =1462.5 \end{gathered}$

Thus, the final amount after four years is $1462.5.