Isaac deposits $1,500 in a savings account that earns 5% per year. How much interest will the money have earned at the end of 4 years?

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Mathematics

Eileen Steele

15 March, 13:43

Isaac deposits $1,500 in a savings account that earns 5% per year. How much interest will the money have earned at the end of 4 years?

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Nikhil Stevens · Answer 1

Use the Simple Interest Formula, I = prt where I is the amount of interest, p is the principal (amount invested), r is the interest rate as a decimal, and t is the time in years. I = 1500 (.05) (4) I = 300 Isaac's investment earns $300 interest.