Question

What interest does $ 48,000 produce, placing at 5% simple annual interest, for 3 years?

Answer 1

Answer: 7,200

Explanation:

5% of 48000 is 2400 so 3 x 2400 is 7200

Answer 2

7,200

Explanation:

Simply multiply 48,000 by .05, which equals 5%, and multiply that answer by 3, the amount of years.