Data:
P (Principal) = $1500
I (Simple Interest) = ?
t (time) = 5 years
r (percentage rate) = 4% = 0.04
Formula:
\(I = P*r*t\)
Solving (1) Find the interest earned.
\(I = P*r*t\)
\(I = 1500*0.04*5\)
\(\boxed{\boxed{I = 300}}\end{array}}\qquad\quad\checkmark\)
Solution (2) Find the balance of the account.
The future value, (Account), of a loan is given by the equation: A = P + I
\(A = P + I\)
\(A = 1500 + 300\)
\(\boxed{\boxed{A = 1800}}\end{array}}\qquad\quad\checkmark\)
