Answer:
Colin will have $1,265 after three years.
Step-by-step explanation:
First, we find the amount of interest Colin will have by using the following formula,
simple interest = principal * interest rate * time
now that we know the formula, we substitute the numbers in.
simple interest = $1,100 * 5% * 3
since the interest rate is obviously a percentage, we have to convert it into a decimal.
simple interest = $1,100 * 0.05 * 3
now that it is a decimal, we can solve this expression.
simple interest = $1,100 * 0.05 * 3
simple interest = $55 * 3 (here, we did $1,100 * 0.05 first so that it doesn't get confusing with all the numbers, it will be easier with two final numbers)
simple interest = $165
Colin has $165 simple interest but over here asks how much she will have AFTER 3 years. think about it, can you have $165 after having $1,100 in your bank AFTER 3 years? no, so we need to add the interest by the principal by using the following formula,
total amount = principal + simple interest
now, we substitute the numbers in.
total amount = principal + simple interest
total amount = $1,100 + $165
total amount = $1,265
Therefore, Colin will have $1,265 after 3 years.
