Question

Sara puts $4,000 into an investment yielding 5% annual simple interest; she left the money in for five years and 6 months. How much interest does Sara get at the end of those five years and 6 months?

Answer 1

Answer:  $\ 1100$

Step-by-step explanation:

Given

Principal amount is $P=\ 4000$

Rate of interest $R=5\%$

Time period $T=5\ yr\ \text{and}\ \text{6 months}\equiv 5.5\ yr$

We know, Simple interest is

$\Rightarrow S.I.=\dfrac{P\times R\times T}{100}$

Putting values

$\Rightarrow S.I.=\dfrac{4000\times 5\times 5.5}{100}=\ 1100$

Sara gets $\ 1100$ after 5 years and 6 months