Question

Jorge deposits $3,000 into an account that pays 5% simple interest. How much interest will he have after 4 years if he makes no more deposits and doesn't withdraw any money?

Answer 1

Jorge will have $600 in interest after 4 years if he makes no more deposits and doesn't withdraw any money from his account.

Step-by-step explanation:

To calculate the interest, we can use the formula: Interest = Principal x Rate x Time.

In this case, the principal is $3,000 and the rate is 5%. Since there are no additional deposits or withdrawals, the time is 4 years.

Plugging these values into the formula, we get: Interest = $3,000 x 0.05 x 4 = $600.

So, Jorge will have $600 in interest after 4 years.