Question

Use the simple interest formula. Jamison invested $2,500 at annual rate of 5%. How long will it

cake him to earn $1,125.00 in interest?

Answer 1

Explanation:

Total investment = $2,500

Interest rate = 5%

So interest for one year = $125

Therefore it will take 9 years to earn $1,125 as interest on an investment of $2,500. (This is on the basis of simple interest formula)