Answer:
$100
Step-by-step explanation:
Simple Interest formula is given as:
A = P(1 + rt)
Where
A = Amount after t years
P = Principal = Initial Amount Invested = $2000
r = Interest rate in t years = 5%
t = time = 1 year
A = 2000(1 + (0.05 × 1)) = 2100
A = $2,100.00
The Amount after 1 year = $2100.00
The Simple Interest is calculated as
= A - P
= $2100 - $2000
= $100
Therefore, after 1 year her investment would have paid $100
