Question

nolan has $61,000 in a savings account that earns 13% interest per year. the interest is not compounded. how much interest will he earn in 5 years? 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.

Explanation:

Step1: Identify given values

$p = 61000$, $r = 0.13$, $t = 5$

Step2: Apply simple interest formula

$I = prt = 61000 \times 0.13 \times 5$

Step3: Calculate the product

$61000 \times 0.13 = 7930$; $7930 \times 5 = 39650$

Answer:

$39650$