To calculate the interest earned in one year, you can use the formula:
Interest = Principal × Rate
where Principal is the initial amount invested and Rate is the interest rate.
In this case, the Principal (P) is $700 and the Rate (R) is 4.5%.
Therefore, the interest earned in one year can be calculated as:
Interest = $700 × 4.5% = $700 × 0.045 = $31.50
So, $31.50 is the interest earned in one year.
$700 invested for a year. if the yearly interest rate is 4.5%, how much interest is earned in one year
1 answer