Question

1) Mr. Isaac invested $7200 at 8% simple interest per annum.

Calculate:
a) The interest earned after 7 years.
b) The TOTAL amount of money in his account after 7 years,

Answer 1

Mr. Isaac should have gained $4,032 in interest, and the total amount of money he earned should be $11,232.

Explanation:

0.08 * 7 = 0.56

0.56 * 7200 = 4,032

4,032 + 7200 = 11,232