Answer:
Interest = $112
Step-by-step explanation:
From the question, we know that the amount deposited (principal amount) is $700, and the interest rate is 4%. We are asked to calculate the interest amount.
In order to calculate the interest amount, we have to use the following formula:
[tex]\boxed{I = \frac{PRT}{100}}[/tex],
where:
• I = simple interest
• P = principal amount
• R = simple interest rate
• T = time
Using the above formula and the given information, we can calculate the simple interest:
I = [tex]\frac{700 \times 4 \times \ 4}{100}[/tex]
= $112
Therefore, she will be paid $112 interest in 4 years.
