Question

*HELP PLEASE* How much money will Sarah have in her account if she deposits $2,700 and she invests in a simple interest savings account with a 3.5% interests rate for 8 years

Answer 1

3456

Explanation:

Answer 2

$3456

Explanation:

We are given;

• Money deposited (principle) as $2,700
• Rate of interest is 3.5%
• Time is 8 years

We are required to determine the amount that will remain after 8 years

• We first need to determine the interest earned after eight years using the simple interest formula.

Simple interest = (Principle × rate × interest periods) ÷ 100

Therefore;

Interest = ($2,700 × 3.5% × 8 yrs)÷ 100

= $756

Then determine the amount after 8 years

Amount = Principle + Interest

Therefore;

Amount = $2700 + $756

= $3,456

Therefore, the money in the account after 8 years is $3456