Answer:
Option: b is the correct answer.
b. $ 196.00
Step-by-step explanation:
The principal amount is given by: P=$ 800
The rate of interest is given by: R=3.5%
The time period is given by: T=7 years.
We know that the simple interest(S.I.) on a principal amount P at some rate of interest R and for a time period T is calculated by the formula:
\(S.I.=\dfrac{P\times R\times T}{100}\)
Hence, we get:
\(S.I.=\dfrac{800\times 3.5\times 7}{100}\\\\\\S.I.=196\)
The amount of interest earned in the following simple interest problem is:
b. $ 196.00
