Methods of Calculating Interest 2.1 What is the amount of interest earned on 55,000 for three years at 8% simple interest per year? 2.2 You deposit $5,000 in a savings account that earns 6% simple interest per year. How many years will it take to d0uble your balance? If, instead, you deposit the $5,000 in another savings accOunt that cams 5% interest compounded yearly, how many years will it take to double your balance? 2.3 Compare the interest earned on $8,000 for 15 years at 8% simple interest with the amount of interest earned if interest were compounded annually. 2.4 Bank A pays 8% simple interest on its savings account balances. Bank B pays 7% interest compounded annually. If you made a $5,000 depOSit in each bank, which bank provides you with more money at the end of 10 years? 2.5 You are considering investing $4,000 at an interest rate of 5% compounded annually for five years, or investing the $4,000 at 6% per year simple interest for seven years. Which option is better? 2.5 YOu are about to borrow $8,000 from a bank at an interest rate of 3% compounded annually. YOU are required to make five equal annual repayments in the amount of $2,004 per year, with the first repayment occurring at the end of year one. For each year, show the interest payment and principal payment