Question

3. A new a bank customer with $3,000 wants to open

a money market account. The bank is offering a
simple interest rate of 1.9%
a. How much interest will the customer earn in 20 years?

Answer 1

In 20 years, the customer earns 1330

Explanation:

I =Prt

the formula for simple interest

P= 3000

r = 1.9% (0.019)

t = 20 years

(3500)(0.019)(20)= 1330