Question

Q.26. At a certain bank, a savings account earns 3 % interest per year. If Jenna opens a savings account with a $ 1,000 deposit and makes no other deposits, how much money does her account contain after twelve years?
(A) $1,360.00
(B) $1,400.00
(C) $1,404.92
(D) $1,425.76
(E) $1,720.00

Answer 1

Dear student

$$\begin{gathered} \mathrm{Given}:\mathrm{rate}\mathrm{of}\mathrm{interest},\mathrm{r}=3\% \\ \mathrm{Time},\mathrm{t}=12\mathrm{years} \\ \mathrm{Principal},\mathrm{P}=\&1000 \\ \mathrm{So},\mathrm{Simple}\mathrm{interest}=\frac{\mathrm{PRT}}{100} \\ =\frac{1000\times 3\times 12}{100} \\ =\&360 \\ \mathrm{So},\mathrm{Amount}\mathrm{in}\mathrm{his}\mathrm{account}\mathrm{after}12\mathrm{years}=\&1000+\&360=\&1360 \end{gathered}$$
Regards