Given that A bank manager wants to encourage new customers to open accounts with principals of at least $3,500.
He decides to make a poster advertising a simple interest rate of 3%.
So we have to find what must the principal be if the bank manager also want to advertise that one can earn $10 the first month.
the simple interset is:
[tex]\begin{gathered} I=\frac{P\times r\times t}{100} \\ 10=\frac{P\times3\times\frac{1}{12}}{100} \\ 1000=P\times3\times\frac{1}{12} \\ P=4000 \end{gathered}[/tex]so we have to check that the poster correctly say. " Open am account of 3500 and earn at least $10 interest in 1 month
[tex]\begin{gathered} I=\frac{3500\times3\times\frac{1}{12}}{100} \\ I=35\times3\times\frac{1}{12} \\ I=8.75 \end{gathered}[/tex]So the statement is incorrect.
