Time value of money : 20 questions :

The formula for calculating Simple Interest (SI) is: SI = P x R x T where P stands for Principal Amount, R stands for Rate and T stands for Time (in years). Given these values in our question; SI = 400 x 0.07 x 5 = 140 dollars.

The accumulated amount after 5 years would then be equal to the original principal amount plus any accrued interests; therefore it will be equal to $400 + $140 = 540 dollars. It should also be noted that the same calculation can be done using online calculators such as https://www.calculatorsoup.com/calculators/financial/simple-interest-plus-principal-calculator.php which provide more convenience and accuracy than manually doing these calculations yourself