Question

Alex has $50,000 to invest in a simple interest account that earns 6.5% annual interest. If Alex wants to withdraw the money after 15 years, how much would she be able to withdraw?

Answer 1

$98,750

Explanation:

6.5% = 0.065

50,000 x 0.065 = 3250.

3250 x 15 = 48,750

50,000 + 48,750 = $98,750