Piper deposited $734.62 in a savings account that earns 2.6% simple interest. What is Piper’s account balance after seven years?
Answer:
Balance in the saving account after 7 years is $ 868.32
Step-by-step explanation:
Given:
Amount deposited in account, P = $ 734.62
Rate of interest , R = 2.6%
Time, T = 7 years
To find: Amount in account after 7 years.
Formula of Simple interest, SI = \(\frac{P\time R\times T}{100}\)
\(SI=\frac{734.62\time2.6\times7}{100}=133.70\)
Amount, A = SI + P = 734.62 + 133.70 = $ 868.32
Therefore, Balance in the saving account after 7 years is $ 868.32