Answer:
$1,618.67
Step-by-step explanation:
converting R percent to r a decimal
r = R/100 = 2%/100 = 0.02 per year.
Putting time into years for simplicity,
7 months / 12 months/year = 0.583333 years.
Solving our equation:
A = 1600(1 + (0.02 × 0.583333)) = 1618.666656
A = $1,618.67
The total amount accrued, principal plus interest, from simple interest on a principal of $1,600.00 at a rate of 2% per year for 0.583333 years (7 months) is $1,618.67.
