Question

Tracy deposited $59 into a bank account that earned 3.5% simple interest each year. If no money was deposited into or withdrawn from the account, how much money was in the account after ​ 1 1/2​ years? Round your answer to the nearest cent.

Answer 1

The answer is 62.10.

Answer 2

Find out the how much money was in the account after
`1(1)/(2)` years.

To prove

Formula

`Simple\ interest = (Principle* Rate* time)/(100)`

As given

Tracy deposited $59 into a bank account that earned 3.5% simple interest each year.

Principle = $59

Rate = 3.5 %

`Time = 1(1)/(2)`

i.e

`Time = (3)/(2)`

Time = 1.5 years

Put all the values in the equation

`Simple\ interest = (59* 3.5* 1.5)/(100)`

= \frac{309.75}{100}[/tex]

= $3.1(approx)

Amount in the account = Principle + Simple interest

= $59 + $ 3.1

= $ 62.1

1 Dollar = 100 cent

Now convert $62.1 into cent.

= 62.1 × 100

= 6210 cent

Therefore the money in the account is 6210 cent .