Question

Justine received a bonus check from her work for $6,000. She is going to deposit the money into her bank account that receives 5% simple interest.
The amount of interest earned each year is

Answer 1

Answer:

Step-by-step explanation:

The formula for determining simple interest is expressed as

I = PRT/100

Where

I represents interest paid on the amount of money deposited.

P represents the principal or amount deposited.

R represents interest rate

T represents the duration of the in years.

From the information given,

P = 6000

R = 5%

T = 1 year

I = (6000 × 5 × 1)/100 = $300

The amount of interest earned each year is $300