Question 182220
The formula for simple interest is
{{{I = P*r*t}}} where
{{{I}}} = Interest earned
{{{P}}} = Principle
{{{r}}} = annual rate
{{{t}}} = time in years
given:
{{{P = 2200}}}
{{{r = .034}}}
{{{t = 5.5}}}
{{{I = 2200*.034*5.5}}}
{{{I = 411.4}}}
This isn't the answer. The problem wants to know
what the bonds are worth after {{{5.5}}} years, and
that would be Interest earned + Principle
{{{I + P = 411.4 + 2200}}}
{{{I + P = 2611.4}}}
The bonds will be worth $2,611.40 in 5.5 years