Question

Marsha deposited $5500 into a savings account 4 years ago. The simple interest rate is 5% How much money did Marsha earn earn in​ interest?

Answer 1

Marsha deposited $5500 into savings with 5% interest rate

1st year, Marsha will earn :
`0.05 * 5500 = 275`

2nd year, Marsha will earn:
`0.05 * 5775 = 288.75`

3rd year, Marsha will earn:
`0.05 * 6063.75 = 303.19`

4th year, Marsha will earn:
`0.05 * 6366.94 = 318.35`