Correct!

Please review the explanation below:

Answer: 700

The formula for simple interest is found on the formulas page in the front of the Mathematics Test.

   simple interest = principal x rate x time
   simple interest = $5000 x 0.07 x 2
   simple interest = $700

Alternate-format responses can be right-, left-, or center-justified, as shown in the examples below.

Note that mixed numbers such as 3 1/2 cannot be gridded. They must be changed to a decimal or fraction form. In the case of 3 1/2, the answer could be gridded as 3.5 or as 7/2.

The answer for an alternate-format question using the standard grid shown here will NEVER be a negative number, such as –8, since the grid does not accommodate negative numbers.