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29 October, 08:49

Loretta deposited $429 in a new savings account at Henry County Bank and Trust. She made no other deposists or withdrawals. After 6 months, the interest was computed at an annual rate of 6.25%. How much simple interest did her money earn?

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  1. 29 October, 09:24
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    Total earned = x (principle + interest)

    x = 429 (1 + (0.0625*0.5)

    x = 429 (1.03125)

    x = 442.41

    442.41-429 = $13.41 earned in simple interest
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