SOLUTION: if a person invests 1000 at an annual rate of 5%, how much interest will the person have after one year

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Question 877610: if a person invests 1000 at an annual rate of 5%, how much interest will the person have after one year
Answer by jim_thompson5910(35256) About Me  (Show Source):
You can put this solution on YOUR website!
Assuming simple interest

I = P*r*t
I = 1000*0.05*1
I = 50

They've earned $50 in interest alone.

They will have 1000+50 = $1,050 in the account after 1 year.