- this is a simple interest question, so you should know the formula for this.
simple interest: i = prt
i - interest
p - principle amount (deposit)
r - rate
t - time in years
the problem: -- this is a two step question, since its asking for the balance.
i = prt
i = 10,000(0.07)(8)
i = 5600
- remember this is just the interest, NOT the balance.
to find the balance:
5600 + 10000 = 15600
FINAL ANSWER:
$15,600
-- let me know if you have any questions regarding this.
