Answer:
Perry earn $2.71 each month on $650.
Step-by-step explanation:
The principal amount is $650.
The rate of interest is 5% annually.
The annual interest formula is
[tex]I=\frac{P\times r\times t}{100}[/tex]
Where, P is principle amount, r is interest rate and t is time in years.
The annual interest is
[tex]I=\frac{650\times 5\times 1}{100}=32.5[/tex]
The month interest is
[tex]\frac{32.5}{12}=2.70833\approx 2.71[/tex]
Therefore Perry earn $2.71 each month on $650.
