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BigorU [14]
3 years ago
11

Carmen deposits $700 into an account that pays simple interest at a rate of 3% per year. How much interest will she be paid in t

he first 6 years?
Mathematics
2 answers:
Setler79 [48]3 years ago
5 0
Formula y=a(1+r)^t  a=starting money 1=set number r=rate t=time GIVENS: a=700 r=3% 0.03 time=6 years plug it in the formula  y=700(1.030)^6 = $835.83
VLD [36.1K]3 years ago
4 0
First we need to find what 3% of 700 is.  We know 10% is 70, 5% is 35, so we need to find out what 3% is.  If you don't know how to calculate percentages of a number, I recommend starting with 10%.  This way you know 10% of the number is 70, so you will also know that 1% of the number is 7.  7 x 3 = 21.  So 3% of 700 is 21.  Since it was over 6 years, we multiply 21 x 6.  That gives us 126.  She will be paid $126 in interest in the first six years.
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