Answer:
$7,000
Explanation:
To find the simple interest on any principal, we use the formula:
[tex]Simple\: Interest=\frac{Principal\times Rate\times Time}{100}[/tex]
From the given question:
• Principal = $50,000
,
• Rate= 7%
,
• Time = 2 years
Therefore:
[tex]\begin{gathered} \text{Interest}=\frac{50,000\times7\times2}{100} \\ =\$7,000 \end{gathered}[/tex]
The simple interest is $7,000.
