George had $6,000 in a savings account earning simple interest at a rate of 5% per year. At the end of the year, George paid 25% in taxes on his interest. How much money did George earn in interest that year after paying taxes?

$225

Step-by-step explanation:

Given that:

Principal = $6,000

Interest rate = 5%

Time = 1 year

Taxes paid = 25% on the interest earned

To find:

Money earned after paying taxes ?

Solution:

First of all, let us calculate the total interest earned:

Formula for Simple Interest is given as:

Where P is the principal

R is the rate of interest

T is the time taken

Putting the given values:

Now, it is given that 25% of the interest earned is given as taxes.

Taxes paid = 25% of $300

Therefore, the money earned = Interest earned - Taxes paid

The money earned = $300 - $75 = $225

unpaid balance is : $149.99-$50 = $99.99 new balance = 149.99+2.62-50 = $102.61 finance charge = 99.99- 0.21/12= $1.75 new balance = 99.99+1.75 = $101.74 average daily balance method average daily balance= 3399.70/30 = $113.32 finance charge = $ 0.21/12ă—113.32 = $1.98 new balance = $149.99-50+1.98 = $101.97

tip $2.90

total $17.40