Multiple choice

Jessica has been saving for her dream vacation and decides to invest $15,000 in a savings account that offers a simple annual interest rate of 5%. Excited to see her savings growth, she wants to know how much money she will have in total after 9 months of investment. How much will Jessica have in her account after 9 months, including the interest earned?

  1. $10,650.25
  2. $11,500.50
  3. $12,560.50
  4. $15,562.50
  5. $16,575.25
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Principal = 15000, Rate = 5% per year, Time = 9 months = 9/12 = 0.75 years. Simple Interest = P*R*T = 15000 * 0.05 * 0.75 = 562.5. Total amount = 15000 + 562.5 = 15562.5.

AI explanation

Since 9 months is equal to 3/4 of a year, the simple interest is calculated as 15000 x 5 x (3/4) / 100, yielding an interest of 562.50. The total amount in the account is the principal plus this interest, so 15000 + 562.50 = 15562.50.

Keep practicing — related questions