A new bank customer with ​$2,500 wants to open a money market account. The bank is offering a simple interest rate of 1.9​%.
a. How much interest will the customer earn in 10 ​years?
b. What will the account balance be after 10 ​years

Answer the question fully.

Answer:

A: $475.00

B: $2975.00

Step-by-step explanation:

2500(1+(0.019x10))=2975

2975-2500=475

Hope this helps.

Answer:

a. To calculate the interest earned in 10 years, we can use the formula for simple interest:

Interest = Principal × Rate × Time

Here:

Principal = $2,500

Rate = 1.9% or 0.019 (as a decimal)

Time = 10 years

Interest = $2,500 × 0.019 × 10

Interest = $475

Therefore, the customer will earn $475 in interest over 10 years.

b. To calculate the account balance after 10 years, we need to add the interest earned to the principal amount:

Account balance = Principal + Interest

Account balance = $2,500 + $475

Account balance = $2,975

Therefore, the account balance after 10 years will be $2,975.

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