ron has $40 in a savings account that earns 5% annually. the interest is not compounded. how much will he…

ron has $40 in a savings account that earns 5% annually. the interest is not compounded. how much will he have in total 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.

ron has $40 in a savings account that earns 5% annually. the interest is not compounded. how much will he have in total 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.

Answer

Explanation:

Step1: Convert interest rate to decimal

The interest rate $r = 5%=0.05$.

Step2: Identify principal and time

The principal $p = 40$ and the time $t = 5$ years.

Step3: Calculate interest

Using the formula $i=prt$, we substitute the values: $i = 40\times0.05\times5=40\times0.25 = 10$.

Step4: Calculate total amount

The total amount $A=p + i$. Substituting $p = 40$ and $i = 10$, we get $A=40 + 10=50$.

Answer:

$50$