Given:
Investment (P) = $10000
Rate of interest (R) = 3.5%
Time (T) = 7 years
To find:
Amount in the account after 7 years
Solution:
Simple interest formula:
[tex]$I=\frac{PRT}{100}[/tex]
[tex]$I=\frac{10000\times3.5\times7}{100}[/tex]
[tex]$I=\frac{10000\times3.5\times7}{100}[/tex]
[tex]I= 2450[/tex]
Simple interest = $2450
Amount = Investment + Interest
= 10000 + 2450
= 12450
Therefore $12,450 will be in the account after 7 years.
