SOLUTION: Sue has $400 in her savings account. If the bank pays her 6 1/2% interest, how much interest will Sue earn?

Algebra ->  Percentage-and-ratio-word-problems -> SOLUTION: Sue has $400 in her savings account. If the bank pays her 6 1/2% interest, how much interest will Sue earn?      Log On


   

Question 312875: Sue has $400 in her savings account. If the bank pays her 6 1/2% interest, how much interest will Sue earn?
Answer by checkley77(12844) About Me  (Show Source):
You can put this solution on YOUR website!
Assuming the 6 1/2 % is an annual rate.
400(1+.065)^1
400(1.065)=$426 would be her total investment or
426-4=$26 is her interest for 1 year.