You put $1200 in an account that earns 3% simple interest. Find the total amount in the account after four years.

Answer 1

Greetings! Lets solve this shall we ?

Let the formula for Simple Interest be I = Prt.

First we must find the interest added to the initial amount of money. Then,

I = (1200)(.03)(4). We use .03 as the rate because it is initially expressed as a percent. We multiply the numbers to get I = $144. Finally, we add the $144 to the 1200 to obtain the total amount in the account after 4 years such that

1200 + 144 = $1344

I hope this helped!