Question

Isaac deposits $1,500 in a savings account that earns 5% per year. How much interest will the money have earned at the end of 4 years? $60 $300 $450 $600

Answer 1

$300 will be earned at the end of 4 years.
Hope this helps :)

Answer 2

The interest earned at the end of 4 years is B) $300.

Explanation:

Isaac deposits $1500 in a savings account.

Principle (P) = $1500

Rate of interest (r) = 5% =
`(5)/(100) = 0.05`

Time (t) = 4 years

We know that the simple interest formula (i) = P.r.t

Now plug in the given values in the above formula, we get

= 1500 times 0.05 times 4

= 75 times 4

Simple interest = $300

So, the interest earned at the end of 4 years is $300.

Answer is B) $300