Ignacio earns 5 percent simple interest annually on his savings account. How much interest will he earn each month on $1250? simple interest = P * r * t $5.21

I=PRT

I=interest

P=principal

R=rate in decimal

T=time in years

we want to find how much he earns when he invests 1250, on 5%, and how much per month, or 1/12 years

P=1250

R=0.05

T=1/12

I=1250 (0.05) * (1/12)

I=62.5/12

I=5.2083333

round to nearest cent

I=$5.21

about $5.21 per month