Sarah invested $38,700 in an account that paid 6.2% annual interest, compounding monthly. She left the money in this account, collecting interest for three full years. Approximately how much interest did she earn in the last month of this period?  Options:  A) $239.47  B) $714.73  C) $2793.80  D) $7,888.83  E) $15,529.61
1% of 38700 is 387   6% is approximately 2400   At the end of first year, total amount = 38700+2400 = 41000 (approx)   At the end of second year, total amount = 41000+2400 (6% of 41000 works out to approximately the same) = 43400 (approx)   So total earnings for third year cannot be more than 6% of 43400 i.e at max $3000   So monthly earning has to be in the range of 250.   $239.47nswer is $239.47
<result>A</result>
Sarah invested $38,700 in an account that paid 6.2% annual interest, compounding monthly. She left the money in this account, collecting interest for three full years. Approximately how much interest did she earn in the last month of this period?