Percy has $800 in a savings account. The interest rate is 10% per year and 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. Percy has $800 in a savings account. The interest rate is 10% per year and 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 Principal Amount, Rate, Time: Step 1: Identify the principal amount, interest rate, and time.Percy has $800 in his savings account, the interest rate is 10%, and the time is 1 year.Convert the interest rate from a percentage to a decimal by dividing by 100.Calculation: 10%/100=0.1
Use Formula to Calculate Interest: Step 2: Use the formula i=prt to calculate the interest.Substitute p=$800, r=0.1, and t=1 into the formula.Calculation: i=800×0.1×1
Perform Multiplication to Find Interest: Step 3: Perform the multiplication to find the interest.Calculation: i=800×0.1×1=$(80)