Question

Tim has a savings account with the bank. The bank pays him 1% per year. He has $5,800 and wonders when it will reach $6,200. When will his savings reach $6,200? If necessary, round your answer to the nearest whole number. Considering interest is calculated yearly, it will take Tim approximately Blank year(s).

Answer 1

using a online calculator I got 6.9 years or 6 years 11 months

Answer 2

`\bf ~~~~~~ \textit{Simple Interest Earned Amount}\\\\ A=P(1+rt)\qquad \begin{cases} A=\textit{accumulated amount}\to &\$6200\\ P=\textit{original amount deposited}\to& \$5800\\ r=rate\to 1\%\to (1)/(100)\to &0.01\\ t=years \end{cases} \\\\\\ 6200=5800(1+0.01t)\implies \cfrac{6200}{5800}=1+0.01t\implies \cfrac{31}{29}=1+0.01t \\\\\\ \cfrac{31}{29}-1=0.01t\implies \cfrac{2}{29}=0.01t\implies \cfrac{(2)/(29)}{0.01}=t\implies 6.89655172\approx t`