4) Pedro invests R35 000 in a savings account for 5 years. Calculate how much money he will have in the savings account at the end of 5 years if the interest received is calculated at \( 9 \% \) p.a simple interest.

To calculate the final amount in Pedro's savings account using simple interest, you can follow this formula: Final Amount = Principal + (Principal × Rate × Time). In Pedro's case: - Principal (P) = R35,000 - Rate (R) = 9% (or 0.09) - Time (T) = 5 years. So, the interest earned over 5 years would be: Interest = R35,000 × 0.09 × 5 = R15,750. Now, adding the interest to the principal: Final Amount = R35,000 + R15,750 = R50,750. So, Pedro will have R50,750 in his savings account at the end of 5 years! --- Did you know that simple interest is a straightforward way to calculate growth on investments or loans? In fact, it's often used in savings accounts, auto loans, and certain types of bonds. It makes it easy to predict how much you'll earn over time—just remember, the longer you save, the more your money grows! If you're thinking about investing or saving, remember to check the interest rate type. While simple interest is easy to calculate, compound interest can lead to even higher returns due to 'interest on interest.' So, depending on your financial goals, you might want to consider both options before making decisions!