Answer:
[tex]I=\$22.5[/tex]
Step-by-step explanation:
we know that
The simple interest formula is equal to
[tex]I=P(rt)[/tex]
where
I is the Final Interest Value
P is the Principal amount of money to be invested
r is the rate of interest
t is Number of Time Periods
in this problem we have
[tex]t=\frac{9}{12}\ years[/tex] ----> one year is equal to 12 months
[tex]P=\$1,000\\r=3\%=3/100=0.03[/tex]
substitute in the formula above
[tex]I=1,000(\frac{9}{12})(0.03)[/tex]
[tex]I=\$22.5[/tex]
