Question

10,000 for 1 Year at 9% simple interest

Answer 1

To calculate simple interest, you can use the formula:

\[
\text{Simple Interest} = P \times r \times t
\]

where:
- \( P \) is the principal amount (initial investment),
- \( r \) is the rate of interest (as a decimal),
- \( t \) is the time (in years).

In your case:
- \( P = 10,000 \)
- \( r = 9\% = 0.09 \)
- \( t = 1 \) year

Now, substituting the values into the formula:

\[
\text{Simple Interest} = 10,000 \times 0.09 \times 1
\]
\[
\text{Simple Interest} = 10,000 \times 0.09 = 900
\]

So, the simple interest earned in one year would be **$900**.

If you want to find the total amount (the initial investment plus interest) after one year:

\[
\text{Total Amount} = P + \text{Simple Interest} = 10,000 + 900 = 10,900
\]

Thus, the total amount after one year will be **$10,900**.