To find the interest Dakota will earn in 3 years, we use the simple interest formula:

$i = prt$

where:

• $p = 70000$ (the principal amount),
• $r = 0.06$ (the interest rate as a decimal),
• $t = 3$ (the time in years).

Substitute the values into the formula:

$i = 70000 \times 0.06 \times 3$

Calculating step-by-step:

1. $70000 \times 0.06 = 4200$
2. $4200 \times 3 = 12600$

So, Dakota will earn $12,600 in interest over 3 years.

Would you like further details or have any questions?

Here are some related questions you might explore:

1. What would the interest be if the rate were 8% instead of 6%?
2. How would the interest change if Dakota invested for 5 years instead of 3?
3. What would happen if the interest were compounded annually instead of calculated as simple interest?
4. How does simple interest differ from compound interest in terms of long-term growth?
5. How can Dakota increase her earnings without increasing the principal?

Tip: Simple interest is always calculated on the initial principal, while compound interest calculates on the growing balance, including interest from previous periods.