Question

When Marty was born, his parents deposited $5000 in a college savings account that earns simple interest at a rate of 7.25% per year. How much interest will the money have earned after 18 years?

Answer 1

The formula is
I=prt
I interest earned?
P principle 5000
R interest rate 0.0725
T time 18 years
I=5,000×0.0725×18
I=6,525

Hope it helps!