Answer to Question #189548 in Financial Math for ntombi mshango

Question

On 29 March 2021, Justin deposited R3 500 into a savings account. The simple interest rate agreed upon was 7,5% per year. The accumulated amount in the savings account on 10 October 2021 is

[1] R3 640,24.

[2] R3 643,09.

[3] R3 637,88.

[4] R3 649,06.

[5] none of the above

Answer 1

total days $=195\space days$

$amount=\frac{principal\times rate \times time}{100}$

$3500\times \frac{7.5}{100}\times{195}{365}$

$=140.24$

total accumulated amount$=3500+140.24=R\space 3640.24$

hence [A] is the right answer