Question

you invest $15,000 in a bond that pays a semi - annual bond interest rate of 4%. what is the total amount of interest you will receive in one year? semi - annual interest = p×(r/2)×t $1,200 $600 $300 $2,400

Explanation:

Step1: Identify values

$P = 15000$, $r=4\%=0.04$, $t = 1$ year. Since it's semi - annual, $n = 2$.

Step2: Use simple - interest formula for semi - annual compounding

The semi - annual interest formula is $I=P\times(\frac{r}{n})\times t$. Substitute values: $I = 15000\times(\frac{0.04}{2})\times1$.

Step3: Calculate the interest

$I=15000\times0.02\times1 = 300$.

Answer:

$300$