An account pays 7% per year simple interest. In year 1, the amount in the account is $950. How much is in the account in year 6?A.$1256.50B.$1316.27C.$1332.42D.$1282.50SUBMITarrow_backPREVIOUS

To solve this problem, we need to use the formula for simple interest which is:

I = PRT

where: I = Interest P = Principal amount (the initial amount of money) R = Rate of interest T = Time (in years)

In this case, we are given: P = $950 R = 7% or 0.07 (as a decimal) T = 6 years

We need to find the total amount in the account after 6 years. This will be the sum of the principal and the interest.

First, let's calculate the interest:

I = PRT I = 950 * 0.07 * 6 I = $399

Now, let's add this to the principal to find the total amount in the account:

Total amount = P + I Total amount = $950 +$399 Total amount = $1349

So, the amount in the account in year 6 is $1349. However, this option is not listed in the choices. There might be a mistake in the question or the choices.

To solve this problem, we need to use the formula for simple interest which is:

I = PRT

where: I = Interest P = Principal amount (the initial amount of money) R = Rate of interest T = Time the money is invested for

In this case, we are given: P = $950 R = 7% or 0.07 (as a decimal) T = 6 years

We need to find the total amount in the account after 6 years. This is the sum of the initial principal and the interest earned, which can be calculated as follows:

1. Calculate the interest: I = PRT I = 950 * 0.07 * 6 I = $399

2. Add the interest to the initial principal to get the total amount in the account: Total amount = P + I Total amount = $950 +$399 Total amount = $1349

So, the amount in the account in year 6 is $1349. However, this option is not listed in the choices provided. There might be a mistake in the question or the provided choices.