Answer:
$3,155
Step-by-step explanation:
First, convert R as a percent to r as a decimal
r = R/100
r = 3.85/100
r = 0.0385 rate per year,
Then solve the equation for A
The formula is given as:
A = Pe^rt
Where
P = Principal = $10,200
r = interest rate = 0.0385
t = Time in years = 7
A = Amount paid after t years
A = 10,200.00 × e^(0.0385×7)
A = $13,354.96
A = P + I where
P (principal) = $10,200.00
I = $13,354.96 - $10,200
I (interest) = $3,154.96
Therefore, the amount of money Karen paid after 7 years in interest to the nearest whole number is $3,155
