Question

carlos invested $5400 for 6 years at 5.2% p.a. simple interest. At the end of the 6 years, he withdrew the capital and invested the interest only for another 4 years. How much interest did he receive in total over this 10 year period?

Answer 1

simple interest = P x r x t
principal = $5400
rate = 5.2%
time = 10 years

= $5400 x 5.2% x 10
= $2808