Michelle Has Maintained an Average Balance of $300 Per Month

Multiple Choice

Michelle has maintained an average balance of $300 per month for the first three months of the year, $800 per month for the next three months, and $1,000 per month for the final six months of the year in a NOW account.It requires a minimum balance of $500 to be maintained if annual interest of 5 percent is to be earned.She writes an average of 25 checks per month but the account does not have a service charge for checks although it costs the bank 10 cents to process each check. What is Michelle's annual gross interest return?

A) $35.
B) $65.
C) $70.
D) $30.
E) $55.