Question

Lauren Michel lends $17,000 at a rate of 10.7% .

Find how long it will take for her investment to earn $1,121.72 in interest.


225 days

222 days

258 days

254 days
10.
Sandra Leatherwood invested money received from a game show for 10 months at 9% interest.
If she received $1,687.50 interest on her investment during this time, find the amount that she invested.


$18,750

$15,625

$22,500

$13,500

Answer 1

Given:
Principal = 17,000
rate = 10.7%
term = x/360
interest = 1,121.72

Interest = Principal * rate * term
1,121.72 = 17,000 * .107 * x/360
1,121.72 = 1,819x / 360
1,121.72 * 360 = 1,819x
403,632 / 1,819 = x
221.90 = x

Lauren Michelle will have to wait 222 days for her investment to earn $1,121.72

Given:
Principal = x
rate = 9%
term = 10 months
interest = 1,687.50

Interest = Principal * rate * term
1,687.50 = x * 0.09 * 10/12
1,687.50 = x * 0.075
1,687.50 / 0.075 = x
22,500 = x

The amount Sandra Leatherwood invested was $22,500.