Question

$2500 in saving account earing 3,5 perccent interest. what was the the total interest earnedin 6 years

Answer 1

Answer:

$I=\ 525$

Step-by-step explanation:

we know that

The simple interest formula is equal to

$I=P(rt)$

where

I is the Final Interest Value

P is the Principal amount of money to be invested

r is the rate of interest  

t is Number of Time Periods

in this problem we have

$t=6\ years\\ P=\ 2,500\\r=3.5\%=3.5/100=0.035$

substitute in the formula above

$I=\ 2,500(0.035*6)$

$I=\ 525$