Answer:
$1,665.19
Step-by-step explanation:
Interest=PRT/100 where P is the principal amount deposited by Michelle, R is the rate offered per year in terms of percentage, T is the period in years
Substituting P for $1385, T for 7 years, R for 2.89% we obtain interest as follows
Interest=$1,385*2.89*7 years/100=$280.1855
Balance after 7 years will be the sum of principal amount and interest gained
Balance=$1,385+$280.1855
=$1,665.1855
Rounding off to 2 decimal places
Balance=$1665.19
Therefore, Michelle's balance is $1,665.19
