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S_A_V [24]
3 years ago
15

How much interest is earned in 2 years on an investment of $2000? The interest rate is 3%

Mathematics
1 answer:
erik [133]3 years ago
6 0
Answer:
A = $ 2,120.00

Equation:
A = P(1 + rt)
Calculation:
First, converting R percent to r a decimal
r = R/100 = 3%/100 = 0.03 per year,
then, solving our equation

A = 2000(1 + (0.03 × 2)) = 2120 
A = $ 2,120.00

The total amount accrued, principal plus interest,
from simple interest on a principal of $ 2,000.00
at a rate of 3% per year
for 2 years is $ 2,120.00.
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