Work out the balance for £5000 invested for 5 years at 7% per annum

Given:

Principal : 5,000

Interest rate : 7% per annum

Term : 5 years

Simple interest is computed by multiplying the principal, the interest rate, and the term.

Simple Interest = Principal * interest rate * term

S. I. = 5,000 * 7% * 5years

S. I. = 350 * 5 years

S. I. = 1,750

An investment of 5,000 will earn a total of 1,750 within 5 years at 7% per annum.