Question

Craig invests $350 in a savings account that earns 1.5% simple interest annually. If he does not make any additional deposits or withdrawals, how much money will be in the savings account

after 2 years?

Answer 1

The total amount of money in the savings account after 2 years is $360.50.

Step-by-step explanation:

To calculate the amount of money in the savings account after 2 years, we need to use the formula for simple interest.

The formula for simple interest is:

Interest = Principal * Rate * Time

In this case, the principal is $350, the rate is 1.5%, and the time is 2 years.

Using the formula, we can calculate the interest as:

Interest = $350 * 1.5% * 2 = $10.50

The interest earned after 2 years is $10.50. To find the total amount of money in the savings account, we need to add the interest to the principal. Therefore, the total amount of money in the account after 2 years is:

Total Amount = Principal + Interest = $350 + $10.50 = $360.50

Answer 2

Step-by-step explanation:

Kyra invested $15,000 of her money at a 1.8% per year bank rate. ... What is Kyra's account balance, to the nearest cent, after: Year 1? Year 2? ... -Compounded interest adds interest not only to your principle amount, but your ... 5) Suppose you deposit $3,000 into an account that earns 6% compounded annually