Suppose Vicky deposits $19.00 into a savings account. The interest rate is 4% per year. Find the number of years it takes to earn $4.56 in simple interest. Enter your answer.
Mathematics · Middle School · Tue Nov 03 2020
Answered on
Given:
Principal Amount (P) =$19.00
Interest Rate ( r ) = 4% or 0.04
Interest earned (I) = $4.56
Determine the number of years in order to earn the given interest.
Formula for Simple Interest.
I = Prt
Solution:
Substitute the given values of I, P and r to the formula for simple interest.
I = Prt
4.56 = (19)(0.04)t
4.56 = 0.76t
t = 6
Final answer:
It would take 6 years to earn $4.56.