To find the interest earned after 1 year in a savings account with an initial investment of \[tex]$1,550 at a 4.2% simple interest rate, we use the simple interest formula:
\[
\text{Interest} = P \times r \times t
\]
where:
- \(P\) is the principal amount (initial investment),
- \(r\) is the annual interest rate (expressed as a decimal),
- \(t\) is the time in years.
Given:
\[
P = 1550 \quad \text{(initial investment)}
\]
\[
r = 4.2\% = 0.042 \quad \text{(interest rate in decimal form)}
\]
\[
t = 1 \quad \text{(time period in years)}
\]
Now, substitute the given values into the formula:
\[
\text{Interest} = 1550 \times 0.042 \times 1
\]
Perform the multiplication:
\[
\text{Interest} = 65.10000000000001
\]
Hence, the interest earned after 1 year is:
\[
\text{Interest} = \$[/tex]65.10
\]
