Edward deposited $7,000 into a savings account 4 years ago. The simple interest rate is 5%. How much money did Edward earn in interest?
Substitute the values into the equation
Interest = $ • • years

$1,440

explanation: here’s the equation with the values in this case

>> interest = 7,000 x 0.05 x 4

after multiplying, you get 1,440, which is the simple interest

**tip: turn the rate/percent into a decimal, then multiply