1. **State the problem:** Joseph loaned 3750 to Kelsey at a simple interest rate of 3.68% per annum for 2 years and 8 months. We need to calculate the interest charged at the end of the term. 2. **Formula for simple interest:** $$I = P \times r \times t$$ where: - $I$ is the interest - $P$ is the principal amount - $r$ is the annual interest rate (in decimal) - $t$ is the time in years 3. **Convert the interest rate to decimal:** $$r = \frac{3.68}{100} = 0.0368$$ 4. **Convert the time to years:** 2 years and 8 months = 2 + \frac{8}{12} = 2 + \frac{2}{3} = \frac{6}{3} + \frac{2}{3} = \frac{8}{3} \text{ years}$$ 5. **Calculate the interest:** $$I = 3750 \times 0.0368 \times \frac{8}{3}$$ 6. **Intermediate calculation:** $$I = 3750 \times 0.0368 \times 2.6667$$ 7. **Multiply step-by-step:** $$3750 \times 0.0368 = 138$$ 8. **Final interest:** $$I = 138 \times 2.6667 = 368$$ **Answer:** The interest charged at the end of the term is $368$.