Final answer:
The interest earned on $2,700 at a 3% annual interest rate over one year is calculated using the simple interest formula I = PRT, which yields an interest of $81.
Step-by-step explanation:
To calculate the interest earned on $2,700 at a 3% annual interest rate over one year, we use the formula for simple interest: I = PRT. Here, I represents the interest earned, P is the principal amount, R is the interest rate, and T is the time in years.
In this case, the principal amount, P, is $2,700, the annual interest rate, R, is 3% or 0.03 when expressed as a decimal, and the time, T, is 1 year.
Using the formula, the interest earned is:
I = $2,700 × 0.03 × 1 = $81.
Therefore, if $2,700 is invested at a 3% annual interest rate, the interest earned after one year would be $81.