Question

(Compound interest)

$17,525 deposit, interest at 1/2% for 3 years; find interest earned.

Answer 1

so 0.5% rate

`~~~~~~ \textit{Simple Interest Earned} \\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\\ P=\textit{original amount deposited}\dotfill & \$17525\\ r=rate\to 0.5\%\to (0.5)/(100)\dotfill &0.005\\ t=years\dotfill &3 \end{cases} \\\\\\ I = (17525)(0.005)(3) \implies I \approx 262.88`