Question

You invested $5000 for 20 years at 7.25%. How much interest did you earn?

Answer 1

`~~~~~~ \textit{Simple Interest Earned} \\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\\ P=\textit{original amount deposited}\dotfill & \$5000\\ r=rate\to 7.25\%\to (7.25)/(100)\dotfill &0.0725\\ t=years\dotfill &20 \end{cases} \\\\\\ I = (5000)(0.0725)(20)\implies I=7250`