Compute the accumulated value of $6500.00 at 8.5% after eleven months.

To calculate the accumulated value of $6,500.00 at an interest rate of 8.5% after eleven months, we'll use the simple interest formula:

\[
\text{Accumulated Value} = P + \text{SI}
\]

Where:
- $ P $ is the principal amount ($6,500.00),
- $ R $ is the rate of interest (8.5% per annum),
- $ T $ is the time period in years.

First, convert the time from months to years:

\[
T = \frac{11 \text{ months}}{12 \text{ months/year}} = \frac{11}{12} \text{ years}
\]

Next, calculate the simple interest using:

\[
\text{SI} = \frac{P \times R \times T}{100}
\]

Finally, add the simple interest to the principal amount to find the accumulated value.

Let's calculate this.The accumulated value of $6,500.00 at 8.5% interest after eleven months is approximately **$7,006.46**.

Would you like more details or have any questions? Here are some related questions:

1. How would the accumulated value change if the interest rate was 10%?
2. How do you calculate compound interest for this scenario?
3. What would be the interest earned if the time period was one year?
4. How does the accumulated value differ between simple and compound interest?
5. What is the formula for calculating interest if it is compounded monthly?
6. Can you calculate the accumulated value if the principal amount was $7,000 instead?
7. How would you compute the time required to reach a specific accumulated value?
8. How does the interest rate impact the time required to double the principal amount?

**Tip:** When dealing with interest calculations over different time periods, ensure that the time is correctly converted into years to match the interest rate, which is usually given on an annual basis.

Learn how to calculate the accumulated value of $6500 at 8.5% interest after eleven months using the simple interest formula. Get a step-by-step solution with detailed calculations. Suitable for high school students and anyone interested in financial mathematics.

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