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Mabel has $30,000 in a savings account that earns 11% annually. The interest is not compounded. How much interest will she earn in 2 years?

please help :(

1 Answer

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Explanation:

If the interest is not compounded, it means that Mabel will earn a simple interest of 11% per year on her principal amount of $30,000.

The formula for calculating simple interest is:

Interest = (Principal x Rate x Time)

Where:

Principal = $30,000

Rate = 11% = 0.11 (as a decimal)

Time = 2 years

So, substituting the values in the formula, we get:

Interest = (30,000 x 0.11 x 2) = $6,600

Therefore, Mabel will earn $6,600 in interest over a period of 2 years.

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