#### Principal (initial amount), P = 1,000

#### Annual simple interest rate, R = 3%

#### From date: Jan 1, 2017

#### To date: May 1, 2017

#### Duration, T = 120 days (4 Months)

#### Commission fee (withdrawal or payment), F = 0%

#### No. of days in a year, N = 365

## I = Simple interest:

#### I = (P × R × T) ÷ N =

#### (1,000 × 3% × 120) ÷ 365 =

#### (1,000 × 3 × 120) ÷ (365 × 100) =

#### 360,000 ÷ 36,500 ≈

#### 9.86301369863 ≈

#### 9.86

## B = Amount earned:

#### B = P + I =

#### 1,000 + 9.86301369863 =

#### 1,009.86301369863 ≈

#### 1,009.86