Answer
367.5 dollars of interest is due.
Work Step by Step
The interest formula is:
interest due = principal $\times$ yearly rate of return $\times$ time in years.
This formula can be written as i = P $\times$ r $\times$ t.
P = 3500
r = 5.25%
t = 2
Substitute these values into the formula to find out how much interest is due.
i = 3500 $\times$ 5.25% $\times$ 2
i = 3500 $\times$ 0.0525 $\times$ 2
i = 367.5
367.5 dollars of interest is due.
