Question

Ms. Ramirez deposited $2,720 into an account that earns 2.35% simple interest annually. She made no additional deposits or withdrawals. What will be the balance in Ms. Ramirez's account in dollars and cents at the end of 6 years?

Answer 1

Ms. Ramirez's account balance at the end of 6 years will be $3,094.20.

Explanation:

To calculate the balance in Ms. Ramirez's account, we can use the following formula:

Balance = Principal + Interest

In this case, the principal is $2,720, the interest is 2.35%, and the time is 6 years.

Plugging in these values, we get:

Balance = $2,720 + (0.0235 * $2,720 * 6) = $3,094.20

Therefore, Ms. Ramirez's account balance at the end of 6 years will be $3,094.20.