Question

Robert deposits $3,000 in the State Bank of Texas for 3 years, which earns 8 % simpleinterest annually. What is his total balance at the end of those 3 years?

Answer 1

`\begin{gathered} From\text{ given information} \\ P_o=3,000 \\ t=\text{ 3 years} \\ I=0.08 \\ P=\text{?} \\ P=P_o\cdot I\cdot t \\ P=3,000\cdot0.08\cdot3 \\ P=720 \\ \text{Total balance =3,000+720} \\ \text{Total balance =3,720} \\ \text{At the end of 3 years Robert will get \$3,720} \end{gathered}`