Final answer:
To calculate the simple interest on a $3400 deposit at an 8% rate for 1 year, use the formula: Simple Interest = Principal × Rate × Time. The interest earned is $272, rounded to the nearest cent.
Step-by-step explanation:
To calculate the simple interest earned, you need to use the simple interest formula:
Simple Interest = Principal (P) × Interest Rate (r) × Time (t)
Given that the principal (P) is $3400, the interest rate (r) is 8%, and the time (t) is 1 year, we can calculate the interest using the formula:
Simple Interest = $3400 × 0.08 × 1
Calculate the multiplication:
Simple Interest = $272.00
Therefore, the interest earned for 1 year at an 8% simple interest rate on a $3400 deposit is $272, rounded to the nearest cent.