To determine the balance after 1 year for a savings account with an initial investment of [tex]$1750 and a 2% simple interest rate, we can follow these steps:
1. Calculate the interest earned:
- The formula for simple interest is:
\[
\text{Interest} = \text{Principal} \times \text{Rate} \times \text{Time}
\]
- Here, the principal (initial investment) is $[/tex]1750, the rate is 2% (which is 0.02 as a decimal), and the time is 1 year.
- Plugging in these values:
[tex]\[
\text{Interest} = 1750 \times 0.02 \times 1 = 35.00
\][/tex]
2. Determine the final balance:
- The final balance is the sum of the initial investment and the interest earned.
- Therefore:
[tex]\[
\text{Final Balance} = \text{Principal} + \text{Interest} = 1750 + 35 = 1785.00
\][/tex]
Thus, the interest earned after 1 year is [tex]$35.00, and the balance after 1 year in the savings account is:
\[
\text{Balance} = \$[/tex]1785.00
\]
