Question

Find the simple interest earned by each account. $1,200 principal at 5.5% interest for 25 years

Answer 1

$1650

Explanation:

Simple interest=principal×time×rate/100

Principal=$1200

Time=25years

Rate=5.5%

S.I=1200×25×5.5/100

S.I=12×25×5.5

S.I=1650

So the simple interest is $1650

Answer 2

The simple interest is $1650

Explanation:

Simple Interest = PRT/100

where p = principal, r = rate and t = time

p = $1200, r = 5.5%, and t = 25 years

SI = (1200*5.5*25)/100

SI = 12*5.5*25

SI = $1650