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To calculate the simple interest Edin will earn over 3 years, we can use the formula for simple interest:

\[
I = P \times r \times t
\]

Where:
- \(I\) is the interest,
- \(P\) is the principal amount (initial deposit),
- \(r\) is the annual interest rate (in decimal form),
- \(t\) is the time the money is invested for (in years).

From the image:
- \(P = £300\),
- \(r = 5\% = 0.05\),
- \(t = 3\) years.

Now, substitute the values into the formula:

\[
I = 300 \times 0.05 \times 3 = £45
\]

So, the interest Edin will have earned after 3 years is **£45**.

Would you like a more detailed explanation, or do you have any questions?

Here are 5 related questions to expand on this:

1. How much total money will Edin have in his account after 3 years?
2. What would the interest be if the interest rate was 6% instead of 5%?
3. How does compound interest differ from simple interest in this scenario?
4. What would happen if Edin left his money in the account for 5 years instead of 3?
5. How would the interest change if Edin deposited £500 instead of £300?

**Tip:** Always ensure that the interest rate is converted to a decimal when calculating interest (e.g., 5% becomes 0.05).

Edin has £300 in his savings account. His bank offers him a fixed 5% simple interest rate per annum for a period of 3 years. How much interest will he have earned after 3 years?

Learn how to calculate the simple interest earned on a £300 savings account at a 5% annual rate over 3 years. This problem explains the basic concepts of interest and percentage calculations. Suitable for Grades 6-8.

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