1
QuizMultiple Choice

Simple Interest

Question 1 • (Kapuschinsky)WCA 3424 Consumer Applications 1st nine weeks 26-27

Gina invests $1,677 in an account paying 8.61% simple interest annually. How much interest has Gina gained after six years?

Answer
A
$668.65
B
$240.65
C
$866.34
D
$2,543.34

Explanation

Use the simple interest formula I = Prt, where P = $1,677, r = 0.0861, and t = 6 years. The interest is $1,677 × 0.0861 × 6 = $866.3382, which rounds to $866.34. Therefore, the correct choice is $866.34.

AI-written and checked against the verified answer.

Next