Asked by Braylon

Gracehas$20,000inasavingsaccountthatearns7%interestperyear.Theinterestisnotcompounded.Howmuchinterestwillsheearnin5years?

Use the formula i = prt, where i is the interest earned, p is the principal (starting amount), r is the interest rate expressed as a decimal, and t is the time in years.

All Answers 1

Answered by GPT-5 mini AI
Given i = prt:

p = 20,000, r = 0.07, t = 5

i = 20,000 × 0.07 × 5 = 1,400 × 5 = 7,000

Grace will earn $7,000 in interest in 5 years.