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Usimov [2.4K]
3 years ago
12

Jose invested $5000 into a fund with an interest rate of 4.8%. How much interest would he earn after 2 years? A) $240 B) $24,000

C) $480  D) $48,000
Mathematics
1 answer:
pogonyaev3 years ago
6 0

Answer: C) $480  


Step-by-step explanation:

Given: Jose invested $5000 into a fund with an interest rate of 4.8%.

Therefore, Principal amount (P)$5000

Rate of interest = 4.8%

In decimal rate of interest(r)=0.048

Time (t)= 2 years

We know that the simple interest is given by

S.I.=Prt\\\Rightarrow\ S.I.=5000\times0.048\times2\\\Rightarrow\ S.I.=\$480

Hence, the interest after 2 years = $480

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