34.6k views
4 votes
Using simple interest, find the interest and the ending balance. $1,370 at 11% for 3 years.

User Ninjagecko
by
8.1k points

1 Answer

6 votes

Final answer:

The simple interest on $1,370 at 11% for 3 years is $451.10. By adding this interest to the principal, we find that the ending balance is $1,821.10.

Step-by-step explanation:

To find the simple interest and the ending balance on $1,370 at 11% for 3 years, we use the simple interest formula:

I = P × r × t

Where I is the interest, P is the principal amount ($1,370), r is the annual interest rate (11% or 0.11), and t is the time in years (3).

Let's calculate the interest:

$1,370 × 0.11 × 3 = $451.10

The simple interest is $451.10. To find the ending balance, we add this interest to the principal:

Total future amount (with simple interest) = $1,370 + $451.10 = $1,821.10

Therefore, the ending balance after 3 years is $1,821.10.

User JayL
by
8.4k points