Question

alicia invests £1420 into an account that pays 3.5% simple interest per annum. work out how much interest alicia will get after 15 years.

Answer 1

£745.50

Explanation:

interest (I) is calculated as

I =
`(PRT)/(100)`

P is the amount invested , R the rate of interest and T , time in years

Given P = £1420 , R = 3.5 , T = 15 , then

I =
`(1420(3.5)(15))/(100)` =
`(74550)/(100)` = £745.50