James deposited $7,500 in a savings account for 1 year at a rate of 2% per year. How much interest will he earn?
The interest will be 7500*0.02 = $<<7500*0.02=150>>150. Answer: \boxed{150}.
To calculate the interest earned on the savings account, we can use the formula:
Interest = Principal * Rate * Time
Given:
Principal (amount deposited) = $7,500
Rate = 2% or 0.02 (in decimal form)
Time = 1 year
Plugging in these values into the formula:
Interest = $7,500 * 0.02 * 1
Calculating:
Interest = $150
Therefore, James will earn $150 in interest over the course of 1 year.