Calculate the amount of interest you'll have at the end of the indicated period.
-You invest $11,000 in an account that pays simple interest of 2% for 1 year.

Question

Quizplus · Accepted Answer

Simple interest is calculated using the formula $I = P \times r \times t$, where $I$ is the interest, $P$ is the principal amount ($11,000), $r$ is the annual interest rate (2% or 0.02), and $t$ is the time in years (1). Plugging in the values, $I = 11000 \times 0.02 \times 1 = 220$.

Calculate the Amount of Interest You'll Have at the End