This economics question tests your understanding of economic models and analysis. The step-by-step answer below applies the relevant framework and explains the reasoning.
ScanSolve AI Answer
Step 1: Calculate the simple interest earned. The formula for simple interest is SI = P × R × T, where P is the principal amount, R is the annual interest rate (as a decimal), and T is the time in years. SI = 15000 × 0.12 × 2 SI = 1800 × 2 SI = 3600 Step 2: Calculate the total amount in the account. The total amount is the principal plus the simple interest. Amount = Principal + Simple\; Interest Amount = 15000 + 3600 Amount = 18600 The amount of money in Joy's account at the end of two years was 18600. Send me the next one 📸