Answer:
5600
Explanation:
Given parameters:
Principal = 40000
Rate = 7%
time = 2yrs
Unknown:
Interest = ?
Solution:
To find the interest accrued on this principal, we use the expression below;
I = [tex]\frac{PRT}{100}[/tex]
p = principal
R = rate
T = time
Insert the parameters and solve;
I = [tex]\frac{40000 x 7 x 2}{100}[/tex] = 5600
The interest accrued is 5600
