Question

Sarah has a savings account with $6,000 in it that earns 5.6% simple interest per year.

How much money, to the nearest penny, will Sarah have in 3 years? Give your answer in dollars.​

Answer 1

$7,008

Explanation:

A = P(1 + rt)

P = $6000

r = 0.056 (percent in decimal form)

t = 3 years

A = 6000(1 + (0.056)(3))

A = 6000(1 + 0.168)

A = 6000(1.168)

A = $7,008