SOLUTION: What is the account balance at the end of a year earning simple interest? My initial principal is $300 and my interest rate is 6%.

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Question 549332: What is the account balance at the end of a year earning simple interest? My initial principal is $300 and my interest rate is 6%.
Answer by mathie123(224) About Me  (Show Source):
You can put this solution on YOUR website!
We have a simple interest formula that says
I=Prt
Where I is the interest earned, P is the principal amount, r is the interest rate and t is the number of units of time that have passed (for example if the interest rate is annually, then t is the number of years that have passed).

So we have ((assuming your interest is annually, let me know if it is not))
I=300%2A0.06%2A1=18
So you have earned $18 in interest. So in total you have 300+18=$318 at the end of the year.