Adam has $1000 in his bank account.
The bank pays him an annual interest of 5%.
He does not deposit any more money.
- What is the interest after a year?
- How much will he have in his bank account after a year?
(a)
Interest after a year
= 5% x 1000
=
5100 x 1000
= $50
(b)
Amount that he will have in his bank account after a year
= 1000 + 50
= $1050
Answer(s): (a) $50; (b) $1050