Question

Chelsea deposit $600.00 into a bank account and is earning simple interest from the bank. After 4 years, her account has a balance of $621.60. If chelsea decided to put $1,100.00 into the account instead of $600.00, how much would she have after 7 years? Explain.

Answer 1

Answer is $1137.80.
Because 21.60 divided in 48 months equivalent to 4 years equals .45 cents interest earned. Then .45 times 84 months (7 years) equals 37.80.
1100+37.80=1137.80