7
Carly has a bank account with a balance of $3,575. The account pays simple interest at a rate of
4.15%. How long will it take for the account to grow to $7000? Round to the nearest year.

Answers

Answer 1

Answer:

It will take 23 years for the account to grow to $7000.

Step-by-step explanation:

Simple Interest

The simple interest formula is given by:

[tex]E = P*I*t[/tex]

In which E is the amount of interest earned, P is the principal(the initial amount of money), I is the interest rate(yearly, as a decimal) and t is the time.

After t years, the total amount of money is:

[tex]T = E + P[/tex]

Carly has a bank account with a balance of $3,575.

This means that [tex]P = 3575[/tex]

The account pays simple interest at a rate of 4.15%.

This means that [tex]I = 0.0415[/tex]

How long will it take for the account to grow to $7000?

[tex]T = 7000[/tex]

The interest is:

[tex]T = E + P[/tex]

[tex]E = T - P = 7000 - 3575 = 3425[/tex]

Now we have to find t.

[tex]E = P*I*t[/tex]

[tex]3425 = 3575*0.0415*t[/tex]

[tex]t = \frac{3425}{3575*0.0415}[/tex]

[tex]t = 23.1[/tex]

Rounding to the nearest year, it will take 23 years for the account to grow to $7000.


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Step-by-step explanation:

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Answers

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hope this helped.

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What is Circle?

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---

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