SOLUTION: I've invested $800 for 7 years at 6% simple interest. A) How much interest was earned? B) What will the total value of the investment be when it matures at the end of the 7

Algebra ->  Finance -> SOLUTION: I've invested $800 for 7 years at 6% simple interest. A) How much interest was earned? B) What will the total value of the investment be when it matures at the end of the 7      Log On


   

Question 1189625: I've invested $800 for 7 years at 6% simple interest.
A) How much interest was earned?

B) What will the total value of the investment be when it matures at the end of the 7 years?
Answer by Theo(13342) About Me  (Show Source):
You can put this solution on YOUR website!
6% simple interest formula is:

i = p * r * n

i = interest
p = principal
r = interest rate per time period
n = number of time periods.

formula becomes:

i = 800 * .06 * 7 = 336.

value of the investment will be 800 + 336 = 1136.