Respuesta :

beckycantdomath

answer: $30

500 x 0.03 x 2 = 30

30 = simple interest

Judy would pay back the simple interest of $30.

To solve this question, we would have to use the formula of simple interest which is given as A = P(1 + rt)

  • A = Final amount
  • P = principal = $500
  • t = time = 2 years
  • rate = 3% = 0.03

substitute the values and solve for the simple interest.

[tex]A= P(1 + rt)\\A= 500(1+0.03*2)\\A = 530[/tex]

The simple interest he is to pay at the end of 2 years is the subtraction of the principal from the final amount

S. I = 530 - 500 = $30

Alternatively, we can use

[tex]S.I = PRT[/tex] and substitute the values.

Learn more on simple interest here;

https://brainly.com/question/1115815

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