Question

Karen deposited $5,000 as a certificate of deposit (CD) in a bank for a period of 3 years. The CD pays simple interest of 15% per year and pays interest every 6 months. How much interest does she get every 6 months?
$

(Hint: Use the formula i = prt, where i is the interest earned, p is the principal (starting amount), r is the interest rate expressed as a decimal, and t is the time in years.)

Answer 1

375 every 6 months ..........