Jayden opens a savings account with $100.00. His account earns 4% simple interest annually. How much money will be in his account one year later if he makes no deposits or withdrawals?

Answer 1

To calculate the amount of money Jayden will have in his account after one year, we can use the formula for simple interest:

Interest = principal * rate * time

In this case, the principal is $100.00 and the rate is 4%, or 0.04 as a decimal. The time is 1 year.

So the interest Jayden will earn is: 100 * 0.04 * 1 = $<<100*0.04*1=4.00>>4.00

The total amount of money in his account after one year will be the principal plus the interest: 100 + 4 = $<<100+4=104.00>>104.00

Therefore, Jayden will have $104.00 in his account one year later if he makes no deposits or withdrawals.