5) Find the simple interest and balance for each year, and then find the compound interest for the situation. Round answers to the nearest hundredth. Include appropriate units in final answer. Use a calculator if needed.
Madison invested \( \$ 8,000 \) at \( 7 \% \) for 3 years. How much interest did she make?
What is Madison's interest at the end of the first year?
\( I=\$ 560 \)
\( I=\$ 480 \)
\( I=\$ 400 \)
\( I=\$ 640 \)

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