ExplanationTo calculate the interest earned, multiply the principal by the annual interest rate: in one year, Carmen will earn $7000 × 0.06 = $420 in interest,

so choice (B) works. To calculate her interest for any part of the year, divide $420 by the appropriate fraction of a year. At the end of April, \(\frac{1}{3}\) of the year has passed, so Carmen will have earned \(\frac{1}{3} \times $420 = $140\); eliminate choice A.

At the end of six months, Carmen will have earned \(\frac{1}{2} \times $420 = $210\); eliminate choice (C).

At the end of three months, \(\frac{1}{4}\) of the year has passed, so Carmen has earned \(\frac{1}{4} \times $420 = $105\); there will be a total of $7000 + $105 = $7105 in the account,

so choice (D) works.
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Sandy

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