Given :
James puts $3,500 into a savings account that earns 2.5% simple interest.
He does not touch that account for 3 years.
To Find :
The new balance of the account be after 3 years.
Solution :
Interest on $3500 after 3 years is :
[tex]I = \dfrac{P_o\times r\times t}{100}\\\\I = \dfrac{3500\times 2.5\times 3}{100}\\\\I = \$262.5[/tex]
So, new balance of the account after 3 years is $( 3500+262.5 ) = $3762.5 .
Hence, this is the required solution.
