To calculate the simple interest earned by Charis over two years, you can use the formula for simple interest:
\[ \text{Interest} = P \times r \times t \]
where:
- \( P \) is the principal amount (initial investment),
- \( r \) is the annual interest rate (as a decimal),
- \( t \) is the time in years.
Given:
- \( P = 140 \) dollars,
- \( r = 3% = 0.03 \),
- \( t = 2 \) years.
Now plug in the values:
\[ \text{Interest} = 140 \times 0.03 \times 2 \]
Calculating this step-by-step:
- Calculate \( 0.03 \times 2 = 0.06 \).
- Then multiply \( 140 \times 0.06 = 8.40 \).
So, the amount of interest Charis received at the end of two years is:
\[ \text{Interest} = 8.40 \text{ dollars} \]
The correct answer is:
C) $8.40