Question

Simple interest earned on an investment of $1200 at 9% for 4 years

Answer 1

Given that P= $1200 at an interest rate r= 9% per annum and for t= 4 years, we have:

E =Prt

`E=1200\cdot\:0.09\cdot\:4=432`

Thus, the earnings are: E = $432.