Answer:
Simple interest is, $ 450.4
Step-by-step explanation:
Simple interest defined as it is determined by multiplying the daily interest rate by the principal by the number of days that elapse between payments i.e,
[tex]I = \frac{P \times R \times T}{100}[/tex] where
I represents the simple interest
P represents the principal
R represents the rate
T represents the time in year.
Given: P = $5, 630 , R = 4% and T = 2 years.
Using simple interest formula to calculate Interest;
[tex]I = \frac{5630 \times 4 \times 2}{100} =\frac{5630 \times 8}{100}[/tex]
Simplify:
[tex]I = \$450.40[/tex]
Therefore, Simple interest is, $450.4
