Laura took out a charge account at the General Store and agreed to pay 7% simple annual interest. If she charges $35 on her account in January, how much will she owe a year later, assuming she does not make any additional charges or payments?	Answers.
A) $2.10 B) $37.10 C) $37.45 D) $38.10 E) $38.80
Principal that is amount taken by Laura at year beginning = 35$   Rate of interest = 7%   Interest = (7/100)*35= 
<gadget id="calculator">(7/100)*35</gadget>
<output>49/20 = around 2.45</output>
2.45$   Total amount that Laura owes a year later= 35+2.45= 
<gadget id="calculator">35+2.45</gadget>
<output>37.45</output>
37.45 $   Answer $37.45
<result>C</result>
Laura took out a charge account at the General Store and agreed to pay 7% simple annual interest. If she charges $35 on her account in January, how much will she owe a year later, assuming she does not make any additional charges or payments?