QuestionAugust 7, 2025

For a certain CD. the initial investment is 1,580 and the annual interest rate is 2.4% How much interest is earned in year one? Year One Interest= [?] Year Two Interest= square Total Interest= square

For a certain CD. the initial investment is 1,580 and the annual interest rate is 2.4% How much interest is earned in year one? Year One Interest= [?] Year Two Interest= square Total Interest= square
For a certain CD. the initial investment is 1,580 and the annual interest rate is 2.4% How much interest is earned in year one? Year One Interest= [?] Year Two Interest= square Total Interest= square

Solution
4.5(296 votes)

Answer

Year One Interest = \37.92 ### Year Two Interest = \37.92 ### Total Interest = \75.84 Explanation 1. Calculate Year One Interest Use the formula for simple interest: I = P \times r \times t. Here, P = 1580, r = 0.024, and t = 1. 2. Calculate Year Two Interest The interest remains the same as it is a simple interest calculation, so Year Two Interest is equal to Year One Interest. 3. Calculate Total Interest Add Year One Interest and Year Two Interest together.

Explanation

1. Calculate Year One Interest<br /> Use the formula for simple interest: $I = P \times r \times t$. Here, $P = 1580$, $r = 0.024$, and $t = 1$.<br />2. Calculate Year Two Interest<br /> The interest remains the same as it is a simple interest calculation, so Year Two Interest is equal to Year One Interest.<br />3. Calculate Total Interest<br /> Add Year One Interest and Year Two Interest together.
Click to rate:

Similar Questions