Question

You invest $3000 in an account at 3.5% per year simple interest. How much will

you have in the account at the beginning of the 7th year? Round your answer to
the nearest whole dollar.
A. $3735
B. $3720
C. $3540
D. $3630

Answer 1

Option "D" is correct $3630

Explanation:

At the beginning of the 7th year, the money has been in the account for 6 years.

The simple interest on $3000 at 3.5% for 6 years is I = prt:

(3000) = (.035) = (6) = 360

he amount in the account at the beginning of the 7th year is then the original amount plus the interest $3630.