Question

Jonathan invested $6,220 in an account that pays 11 percent simple interest. How much money will he have at the end of 40 years?

1) 33,588
2) 408,671
3) 106,905
4) 159,654
5) 404,305

Answer 1

To calculate the amount of money Jonathan will have at the end of 40 years with 11% simple interest, use the formula for simple interest, and add it to the principal.

Step-by-step explanation:

To calculate the amount of money Jonathan will have at the end of 40 years, we can use the formula for simple interest:

Interest = Principal x Rate x Time

Interest = $6,220 x 0.11 x 40 = $27,224

The total amount of money Jonathan will have is the principal plus the interest:

Total = Principal + Interest = $6,220 + $27,224 = $33,444

Therefore, the correct answer is option 1) $33,588.