How much wil they recive

Question

ommy and erin are given 100$ savings bond by thier uncle ken.they are to share the bond.the bond growsata rate of 5% every year and can be redeemd early without penalty.if they fedeem the bond after 9-months,how much will they recive?

Answer 1

1. Watch your spelling!

2.  It's not clear if they would get ¾ of a full year's interest. If they do, then the interest earned is 0.05(¾)(100)

= $3.75

 

It looks as if they will receive $103.75