Dwayne has $40 in a savings account that earns

5% annually. The interest is not compounded. How much will he have in 1 year?

He'll have $42.

Step-by-step explanation:

5% annually means that he'll have 5% more in his account after one year. That's exactly what the question asks.

So it's just a matter of adding 5% to $40.

$40 + ($40 * 0.05) = $40 + $2 = $42