If you deposit $800 in a savings account that earns a simple interest rate of 1.5% per year. How much will you earn after five years?

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Interest = principal amount * interest rate * time (years)

I = P * I * T

principal amount = $800

interest rate = 1.5% per annum

time = 5 years

Therefore:

I = $800 * 1.5/100 * 5

Interest = 50

Amount after five years ;

Add the original amount to the interest obtained

that is , $800+50 = $850

Hence amount earned after five years is = $850

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