Question

A new bank customer with ​$

2,500 wants to open a money market account. The bank is offering a simple interest rate of
1.8​%.
a. How much interest will the customer earn in
20 ​years?
b. What will the account balance be after
20 ​years?
ima be askin alot of questions

Answer 1

Answer:$3100

Explanation:

Step one:

given data

Principal = $2500

rate = 1.2%

time = 20 years

Step two:

The simple interest is expressed as

SI= PRT/100

substitute

SI= 2500*1.2*20/100

SI= $600

The account balance after 20 years is

= principal + Simple interest

= 2500+600

= $3100

Answer 2

$3100

Explanation:

Step one:

given data

Principal = $2500

rate = 1.2%

time = 20 years

Step two:

The simple interest is expressed as

SI= PRT/100

substitute

SI= 2500*1.2*20/100

SI= $600

The account balance after 20 years is

= principal + Simple interest

= 2500+600

= $3100