Question

A self-employed individual places 5,000$inanaccountthatearns$82$ years?

• A. 700
• B. 800
• C. 900
• D. 600

Answer 1

The correct option is B 800

If the principal amount is $p$, annual interest is $r$ $\%$, then for simple interest after $n$ years the amount will be $p(1+\frac{nr}{100})$
Here, $p=5000$ , $n=2$ , $r=8$ $\%$
So, the amount after $2$ years is $5000(1+\frac{16}{100})=5000\left(\frac{116}{100}\right)=5800$.
The amount in his account is $5800-5000=800$.