Question

Pamela has $50,000 in a savings account. The interest rate is 3% per year and is not

compounded. How much will she have in total in 1 year?

Answer 1

$51,500 in her savings account.

Explanation:

If Pamela has $50,000 in a savings account with an interest rate of 3% per year and the interest is not compounded, then in 1 year she will earn an interest of $50,000 * 0.03 = $1,500.

So, after 1 year, Pamela will have a total of $50,000 + $1,500 = $51,500 in her savings account.