Question

Lui deposited $3,500 into a savings account. The simple interest is 4%. How much interest will the account earn in 2 years?

Answer 1

$280

Explanation:

Principal = $3,500

Time = 2 Years

Interest Rate = 4%

Interest = Principal x Time x Interest Rate

Interest = $3,500 x 2 x 0.04

Interest = $280