Interest = Principal × Rate × Time (1 year here).

• 3% → $\$97.50$
• 1% → $97.50 \div 3 = \$32.50$
• 100% → $32.50 \times 100 = \$3,250$

Check: 3250 × 0.03 = 97.50. ✓

Final Answer: 3250