Answer:
[tex]\boxed {\boxoed {\sf \$ 2950}}[/tex]
Step-by-step explanation:
We want to calculate Jose's money after 3 years. First, calculate the interest.
For simple interest, the formula is:
[tex]I=p \times r \times t[/tex]
where p is the principal, r is the interest rate, and t is the time.
The principal or starting amount is $2,500. The time is 3 years. The interest rate is 6%, but we must convert this to a decimal. Divide by 100 or move the decimal place 2 spots to the left.
So, we know that:
Substitute these values into the formula.
[tex]I= 2500 \times 0.06 \times 3 \\I= 2500 \times 0.18 \\I=450[/tex]
Jose earned $450 in interest, but we want to know the money he has in total. Therefore, we add his interest to the principal.
[tex]A=p+I \\A= 2500+ 450 \\ A=2950[/tex]
After 3 years, Jose has $2,950
