Question

Which formula can be used to find the account balance ??

Answer 1

It’s b since 3% times 250 equals 7.4 and 7.4 times 14 equals 105 so you add 105 to 250 and you get 355

Answer 2

The correct answer is option C.

Explanation:

Simple interest

S.I =
`(P* R* T)/(100)`

P = Principal amount

R = Rate

T = Time period

We have:

P = $250

R = 3%

Amount present at beginning of year 14 means that amount made in 13 years of time period = A

T = 13 years

`A=P+S.I`

`A= \$250+(\$250* 3* 13)/(100)`

A = $347.50

The general formula of the given situation will be:

`A= \$250+\$250* 0.03* (n-1)`

The amount in beginning of year 14 wil be $347.50.