Question

You put 1200 in an account that earns 3% simple interest. What is the total amount in the account after four years?

Answer 1

Answer: A = 1350.61

Explanation:

Using the formula for calculating amount, which is given as

A = P
`(1 + r)^(n)`

A = amount

P = Principal

r = rate

n = number of years

substituting the values given into the formula , we have

A = 1200 (
`(1 + 0.03)^(4)`

A = 1200 (
`(1.03)^(4)`

A = 1350.61

Therefore , the amount after four years is 1350.61