Fernando has $70 in a savings account that earns 10% annually. The interest is not compounded. How much interest will he earn in 1 year? Use the formula i=prt, where i is the interest earned, p is the principal (starting amount), r is the interest rate expressed as a decimal, and t is the time in years.$_____
Q. Fernando has $70 in a savings account that earns 10% annually. The interest is not compounded. How much interest will he earn in 1 year? Use the formula i=prt, where i is the interest earned, p is the principal (starting amount), r is the interest rate expressed as a decimal, and t is the time in years.$_____
Identify values: Step 1: Identify the values needed to calculate the interest.Principal p = $70,Interest rate r = 10% or 0.10 as a decimal,Time t = 1 year.
Use formula: Step 2: Use the formula i=prt to calculate the interest.i=($70)∗0.10∗1
Perform multiplication: Step 3: Perform the multiplication to find the interest. i=$7