Find the maturity value of $1,300 borrowed at 6 5/8% simple interest for 7 years. (Round your answer to the nearest cent.)

Answer 1

1300 x .06625 x 7 + 1300 =

602.875 + 1300

= $1902.88 rounded to nearest cent

6 5/8%= .06625

86.125 = 1300x.06625 = simple interest for 1 year

multiply it by 7 for

7 years simple interest (no compounding)

add the original 1300