MBF3C - Algonquin Achievement Centre

Sam invested $800 for two years that paid 5.5% per year. How much interest was earned? Solution. P = $800. r = 5.5% *** To convert it into a decimal, divide by 100 = 5.5 ÷ 100 = 0.055. t = 2. Now Use the formula I = Prt. I = ($800)(0.055)(2) I = $88.00 $88.00 was earned in interest. Example 2: A savings account pays interest at 3 3/4% per year. The account has balance of $2 487.61 on January ... ................
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