Question

Paul solved the problem below. Find his mistakes and correct them.

Answer 1

$7.23

Step-by-step explanation:

To find the interest earned, we'll use the below formula;

`I=P\ast r\ast t`

where I = simple interest

P = amount invested (the principal) = $350

r = interest rate in decimal form = 6.2% = 6.2/100 = 0.062

t = time in years = 4 months = 4/12

Substituting the above values into our equation and solving for I, we'll have;

`\begin{gathered} I=350\ast0.062\ast(4)/(12) \\ =7.23 \\ \therefore I=7.23 \end{gathered}`

Therefore, the interest earned will be $7.23.