Cathy makes a deposit of 2800 dollars on June 1 1997 How muc

Cathy makes a deposit of 2800 dollars on June 1, 1997. How much is in the account on June 1, 1999, if the account pays 6.5 percent simple interest?

Solution

Simple interest = (Principal X Rate of interest X Time)/100

P = 2800

r = 6.5

t = 2 years

S.I = (2800 X 6.5 X 2)/100 = 364

Amount on June 1, 1999 = Principal + Interest = 2800 + 364 = $ 3164