Question

A new bank customer with 3,000 wants to open a money market account the bank is offering a simple interest rate of 1.8% how much interest will the customer earn in 20 years

Answer 1

Answer:

$3540

Step-by-step explanation:

See explanation

Step-by-step explanation:

The Simple Interest will be calculated as:

= P × R × T

= $3000 × 1.8% × 10.

= $3000 × 0.018 × 10

= $540

The interest that the customer earn in 10 years is $540.

Then, the account balance after 10 years will be:

= Principal + Interest

= $3000 + $540

= $3540

Therefore, the account balance will be $3540