Question

jada received an inheritance from her grandmother of $7000. she places the money in a savings account paying simple interest at 1.7%. what will be the value of the account after 3.5 years?
the value of the account after 3.5 years will be $ (type an integer or a decimal.)

Explanation:

Step1: Identify the simple - interest formula

The simple - interest formula is $A = P(1+rt)$, where $A$ is the final amount, $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the time in years.
Here, $P = 7000$, $r=0.017$ (since $1.7\%=0.017$), and $t = 3.5$.

Step2: Substitute the values into the formula

$A=7000\times(1 + 0.017\times3.5)$
First, calculate the value inside the parentheses: $0.017\times3.5=0.0595$.
Then, $1+0.0595 = 1.0595$.

Step3: Calculate the final amount

$A=7000\times1.0595=7416.5$

Answer:

$7416.5$