Find the accumulated amount at the end of 9 months on an $100 deposit in the bank paying simple interest rate of 7% per year

To find the accumulated amount (A) using simple interest, we use the formula:

\[
A = P(1 + rt)
\]

Where:
- $ A $ is the accumulated amount,
- $ P $ is the principal (initial deposit),
- $ r $ is the annual interest rate (in decimal form),
- $ t $ is the time in years.

Given:
- $ P = 100 $ dollars,
- $ r = 7\% = 0.07 $,
- $ t = 9 $ months, which is $ \frac{9}{12} = 0.75 $ years.

Now, substitute the values into the formula:

\[
A = 100(1 + 0.07 \times 0.75)
\]
\[
A = 100(1 + 0.0525)
\]
\[
A = 100(1.0525)
\]
\[
A = 105.25
\]

Thus, the accumulated amount after 9 months is **$105.25**.

Would you like more details or have any questions?

Here are some related questions:
1. How does the formula change if the interest were compounded instead of simple?
2. What would be the accumulated amount if the deposit period was 1 year instead of 9 months?
3. How much total interest was earned in this case?
4. How would the accumulated amount change if the interest rate was 10%?
5. Can you calculate the interest manually using step-by-step multiplication?

**Tip**: Simple interest grows linearly with time, unlike compound interest which grows exponentially!

Find the accumulated amount at the end of 9 months on an $100 deposit in the bank paying simple interest rate of 7% per year.

Find out how to calculate the accumulated amount for a $100 deposit at a 7% simple interest rate over 9 months. This problem explains the formula A = P(1 + rt) and demonstrates how time in months is converted into years. Suitable for Grades 7-9 students learning about basic interest calculations.

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