Toby has $400 in a savings account that earns 10% interest per year. 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. Toby has $400 in a savings account that earns 10% interest per year. 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 Amount, Rate, Time: Step 1: Identify the principal amount, interest rate, and time.
Convert Rate to Decimal: Step 2: Convert the interest rate from a percentage to a decimal.
Use Formula i=prt: Step 3: Use the formula i=prt to calculate the interest.
Calculate Interest: Step 4: Perform the multiplication to find the interest.