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oksano4ka [1.4K]
3 years ago
11

Assume that you set aside $500 per year, and invest that money over the next five years in an account earning 6%. What is the am

ount of interest you will earn on this investment?
Mathematics
1 answer:
Blizzard [7]3 years ago
3 0

Answer:

150

Step-by-step explanation:

This is a case of simple interest.

The formula for this is as follows:

S.I = PRT/100

P = principal = $500

R = Rate = 6%

T = Time .= 5 years

Substituting all in the earlier equation will yield:

S.I = (500 * 6 * 5)/100 = 15,000/100 = $150

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