A retiree invests $9,000 in a savings plan that pays 5% per year. What will the account balance be at the end of the first year

Using the formula I=Pxrxt

P is the principal amount, $9000.00.

r is the interest rate, 5% per year, or in decimal form, 5/100=0.05.

t is the time involved, 1 ... year (s) time periods.

So, t is 1 ... year time periods.

To find the simple interest, we multiply 9000 * 0.05 * 1 to get that:

The interest is: $450.00

So the balance will be $9450.00 at the end of the first year.