Question

You deposited $350 in the bank with simple interest several years ago. You are keeping track of your account balance by drawing a graph. The points (3,21)
and (8,56)
are on the graph. What is the amount of interest you earn each year?(1 point)
Responses

$35.00
$35.00

$7.00
$7.00

$2.67
$2.67

$77.00

Answer 1

To find the amount of interest you earn each year, we can use the points provided on the graph, which represent time (years) and the amount of interest earned.

The points (3, 21) and (8, 56) indicate:

- At 3 years, you have earned $21 in interest.
- At 8 years, you have earned $56 in interest.

Now, we can find the difference in interest earned between these two points:

- Interest earned from 3 to 8 years = Interest at 8 years - Interest at 3 years
- Interest earned from 3 to 8 years = 56 - 21 = $35

The difference in the time period is:

- Time period from 3 to 8 years = 8 - 3 = 5 years

Now we can find the annual interest earned:

\[
\text{Annual Interest} = \frac{\text{Total Interest Earned}}{\text{Number of Years}} = \frac{35}{5} = 7
\]

Thus, the amount of interest you earn each year is **$7.00**.