a students parents invested $5,000 in a college savings account that pays 4.85% annual simple interest. no…

a students parents invested $5,000 in a college savings account that pays 4.85% annual simple interest. no additional deposits or withdrawals will be made.\n\nwhich amount is closest to the interest earned on the account at the end of 15 years?\n\na $5,174.11\nb $10,174.11\nc $3,637.50\nd $8,637.50

a students parents invested $5,000 in a college savings account that pays 4.85% annual simple interest. no additional deposits or withdrawals will be made.\n\nwhich amount is closest to the interest earned on the account at the end of 15 years?\n\na $5,174.11\nb $10,174.11\nc $3,637.50\nd $8,637.50

Answer

Answer:

C. $$3,637.50$

Explanation:

Step1: Identify the simple interest formula

$$I = P \cdot r \cdot t$$

Step2: List the given values

$$P = 5,000, \quad r = 0.0485, \quad t = 15$$

Step3: Substitute values into the formula

$$I = 5,000 \cdot 0.0485 \cdot 15$$

Step4: Calculate the total interest earned

$$I = 3,637.50$$