cameron has decided to diversify his investments in the following way: $3,000 in an account earning 2.7%…

Explanation:

Step1: Calculate simple - interest

The simple - interest formula is $I = Prt$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), and $t$ is the time in years. For the first investment, $P_1=3000$, $r_1 = 0.027$, and $t = 3$. $I_1=P_1r_1t=3000\times0.027\times3 = 243$

Step2: Calculate compound - interest for the second investment

The compound - interest formula is $A = P(1 + \frac{r}{n})^{nt}$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), $n$ is the number of times interest is compounded per year, and $t$ is the number of years. For the second investment, $P_2 = 5000$, $r_2=0.018$, $n_2 = 1$, and $t = 3$. $A_2=5000(1 + 0.018)^{3}=5000\times(1.018)^{3}=5000\times1.054707=5273.535$ $I_2=A_2 - P_2=5273.535 - 5000=273.535$

Step3: Calculate compound - interest for the third investment

For the third investment, $P_3 = 5000$, $r_3=0.039$, $n_3 = 4$, and $t = 3$. $A_3=P_3(1+\frac{r_3}{n_3})^{n_3t}=5000(1+\frac{0.039}{4})^{4\times3}=5000(1 + 0.00975)^{12}$ $(1 + 0.00975)^{12}\approx1.124667$ $A_3=5000\times1.124667 = 5623.335$ $I_3=A_3 - P_3=5623.335 - 5000=623.335$

Step4: Calculate total interest

$I_{total}=I_1+I_2+I_3=243+273.535+623.335 = 1135.30$

Answer:

d. $$1,135.30$