SOLUTION: Paul invested $5000 in a time deposit. What interst will he earn for 1 year if the interest rate is 6.5%? Is the answer $325.00

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Question 67758: Paul invested $5000 in a time deposit. What interst will he earn for 1 year if the interest rate is 6.5%?
Is the answer $325.00
Answer by tutorcecilia(2152) About Me  (Show Source):
You can put this solution on YOUR website!
Yes, I agree with your answer, because:
Interest = (Principle)(rate)(time) [formula for simple interest]
I=(5000)(.065)(1)[change the percent to a decimal; multiply]
I=$325
Good job!!