Question

sheila deposits $300.00 in an account that earns 7.5% simple interest how much interest will her money earn in 5 years?

Answer 1

Calculate the interest for a year
interest/year = percentage × deposit
interest/year = 7.5% × 300
interest/year =
`(7.5)/(100) * 300`
interest/year =
`(2,250)/(100)`
interest/year = 22.5
She will get $22.5 in a year

Calculate interest in 5 years
interest in 5 years = interest per year × 5
interest in 5 years = 22.5 × 5
interest in 5 years = 112.5
She will get $112.50 in 5 years