Question

$300 at 5% annual interest for 7 years.

Find the simple interest earned in the account.

1. $2124.29
2. $11.67
3. $420.00
5. $105.00

Answer 1

P = $300;
i = 5 % = 0.05;
n = 7 years;
The simple interest is:
I = $300 * 0.05 * 7
I = $105
Answer: D ) $105