If you deposit $3000 in a savings account that earns simple interest at the rate of 2.5% per year, how much interest will you have earned after 4 years?

Question

Mathematics

Kaiser

7 November, 15:13

If you deposit $3000 in a savings account that earns simple interest at the rate of 2.5% per year, how much interest will you have earned after 4 years?

+4

Answers (1)

Know the Answer?

Santiago Anthony · Answer 1

Firstly we need to find out what's 2.5% from $3000:

3000 * 2.5% =

= 3000 * 2.5/100 =

= 3000 * 25/1000 =

= 3 * 25 =

= 75 [dollars]

It means you will earn $75 dollars of interest annualy. After 4 years you will earn:

4 * $75 = $300