Question

An account earns simple annual interest. $1800 at 6.5% for 30 months

a. Find the interest earned.

b. Find the balance of the account.

Answer 1

Explanation:

I=prt

I=$1800*6.5%*2.5years (since 30 month means 2.5 years)

I=$292.50 is the interest

let as find the amount now

A=principle+interest

A=$1,800+$292.50

A=$2092.50 is the amount

hope that would help

Answer 2

Interest = $292.50 | Balance = $2092.50

Explanation:

a. To find the interest earned, we can use the formula:

Interest = Principal x Rate x Time

where Principal is the amount invested, Rate is the annual interest rate, and Time is the time period in years.

In this case, the Principal is $1800, the Rate is 6.5% per year, and the Time is 30/12 = 2.5 years (since the interest rate is given as an annual rate and the time period is given in months).

So, we can plug in these values and calculate the interest:

Interest = $1800 x 0.065 x 2.5

Interest = $292.50

Therefore, the interest earned is $292.50.

b. To find the balance of the account, we need to add the interest earned to the original principal.

Balance = Principal + Interest

Balance = $1800 + $292.50

Balance = $2092.50

Therefore, the balance of the account after 30 months is $2092.50.