Abbi invested $1,000 in a certificate of deposit with a simple interest rate of 3%. Find the interest earned in 6 years. Then find the total of principal plus interest.
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Simple interest is determined by multiplying the daily interest rate by the principal by the number of days that elapse between payments.
Find the interest earned in 6 years.
A = P(1 + rt)
A = 1500 (1 + 0.04(6)) = 1860
Then find the total of principal plus interest.
Total = 1500 + 1860 = 3360
Find the interest earned in 6 years.
A = P(1 + rt)
A = 1500 (1 + 0.04(6)) = 1860
Then find the total of principal plus interest.
Total = 1500 + 1860 = 3360
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