A. The statement Amy's account will earn $246.75 in interest is True
B. The statement Amy's account will be worth $2,753.25 after 3.5 years
is False
C. Amy's account would earn $15.75 more in interest if the annual
interest rate were raised to 2.5% is True
Step-by-step explanation:
Simple interest rule is I = Prt , where I is the interest, p is the money
invested, r is the annual rate in decimal and t is the time
The given is:
1. The money invested is $3,000
2. The simple annual interest is 2.35%
3. The time is 3.5 years
∵ P = 3000
∵ r = 2.35 ÷ 100 = 0.0235
∵ t = 3.5
- Substitute these values in the rule above to find the interest
∴ I = 3000(0.0235)(3.5)
∴ I = 246.75
A. Amy's account will earn $246.75 in interest ⇒ True
To find the total money that Amy has after 3.5 years add the money
invested to the interest
∵ Total money = P + I
∵ P = 3000 and I = 246.75
∴ Total money = 3000 + 246.75
∴ Total money = 3246.75 dollars
B. Amy's account will be worth $2,753.25 after 3.5 years ⇒ False
∵ P = 3000
∵ r = 2.5 ÷ 100 = 0.025
∵ t = 3.5
- Substitute these values in the rule above to find the interest
∴ I = 3000(0.025)(3.5)
∴ I = 262.5
∵ I of 2.35% = 246.75
∴ The difference = 262.5 - 246.75 = 15.75
C. Amy's account would earn $15.75 more in interest if the annual
interest rate were raised to 2.5% ⇒ True
Learn more:
You can learn more about interest in brainly.com/question/12773544
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