Respuesta :
We have been given that Mr. Juárez opened a savings account with an initial deposit of $560 and will not make any additional deposits or withdrawals. The account earns 1% simple interest.
We are asked to find the total amount that Mr. Juárez will have in his account at the end of 3 years.
We will use simple interest formula to solve our given problem.
[tex]A=P(1+rt)[/tex], where,
A = Final amount after t years,
P = Principal amount,
r = Annual interest rate in decimal form,
t = Time in years.
Let us convert 1% into decimal form,
[tex]1\%=\frac{1}{100}=0.01[/tex]
[tex]P = \$560[/tex] and [tex]t=3[/tex].
[tex]A= \$560(1+0.01(3))[/tex]
[tex]A= \$560(1+0.03)[/tex]
[tex]A= \$560(1.03)[/tex]
[tex]A= \$576.80[/tex]
Therefore, Mr. Juárez will have [tex]\$576.80[/tex] in his account at the end of 3 years.
