Question

Natalie invested $15,000 in an account that pays 4% annual simple interest. Natalie will not make any additional deposits or withdrawals. How much interest will Natalie earn on her investment at the end of 3 years?AnswerF$1,800G$600H$450J$1,873

Answer 1

The amount of interest that Natalie will earn on her investment is $1,800.

Step-by-step explanation

Given:

Principal(P) = $15 000

Rate = 4

Time = 3

Using the simple interest formula below:

`S\mathrm{}I=(P* R* T)/(100)`

Substitute the values and evaluate.

`S\mathrm{}I=(15000*4*3)/(100)`
`=\text{ \$1,800}`

Therefore, the amount of interest that Natalie will earn on her investment is $1,800.