73.1k views
1 vote
Find the simple interest paid on a $850 investment at 5.4% annual interest for 60 days.

1 Answer

1 vote

To find the simple interest paid on a $850 investment at 5.4% annual interest for 60 days, we can use the formula for simple interest:

Simple Interest = (Principal * Rate * Time) / 365

Where:

- Principal is the initial amount invested ($850 in this case)

- Rate is the annual interest rate (5.4% expressed as a decimal, which is 0.054)

- Time is the duration in days (60 days in this case)

- 365 is the number of days in a year

Let's calculate the simple interest:

Simple Interest = (850 * 0.054 * 60) / 365

Simple Interest = 2.20547945205

Rounding to the nearest cent, the simple interest paid on the $850 investment at 5.4% annual interest for 60 days is approximately $2.21.

User Jordan Dimov
by
7.6k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories