1. **Problem Statement:** We are given an initial investment of $350 at an interest rate of 6% compounded annually. We want to find the amount after 7 years and the interest earned. 2. **Formula Used:** The compound interest formula is: $$ A = P \left(1 + \frac{r}{n}\right)^{nt} $$ where: - $A$ is the amount after time $t$, - $P$ is the principal (initial investment), - $r$ is the annual interest rate (decimal), - $n$ is the number of times interest is compounded per year, - $t$ is the number of years. 3. **Given Values:** - $P = 350$ - $r = 0.06$ - $n = 1$ (compounded annually) - $t = 7$ 4. **Calculate the amount:** $$ A = 350 \left(1 + \frac{0.06}{1}\right)^{1 \times 7} = 350 \left(1 + 0.06\right)^7 = 350 \times 1.06^7 $$ 5. **Calculate $1.06^7$:** $$ 1.06^7 \approx 1.50363 $$ 6. **Calculate $A$:** $$ A = 350 \times 1.50363 = 526.27 $$ 7. **Calculate interest earned:** $$ \text{Interest} = A - P = 526.27 - 350 = 176.27 $$ **Final answer:** - Amount after 7 years: $526.27$ - Interest earned: $176.27$