Compute the amount of interest earned in the following simple interest problem A deposit of $1,295 at 7% for 180 days

Answer: the amount of interest earned is $44.7

Step-by-step explanation:

The formula for determining simple interest is expressed as

I = PRT/100

Where

I represents interest paid on the amount deposited.

P represents the principal or amount deposited.

R represents interest rate

T represents the duration in years.

From the information given,

P = $1295

R = 7%

T = 180 day. Assuming there are 365 days in a year. Converting 180 days to years, it becomes

180/365 = 0.49315 year

Therefore,

I = (1295 * 7 * 0.49315) / 100 = $840,

I = $44.7