Question

Regina opened a savings account with $4000. The account earns 7.25% simple interest annually. After how many years will the balance of the account be 8500? 7.3 years -7.3 years less than 1 year 15.5

Answer 1

It will take approximately 3.49 years for the balance of the account to reach $8500.

Step-by-step explanation:

To calculate the number of years it will take for the balance of the account to reach $8500, we need to use the formula for simple interest:

Simple Interest = Principal * Interest Rate * Time

Let x represent the number of years:

$8500 = $4000 * 7.25% * x

Simplify the equation by dividing both sides by $4000 * 7.25%:

x = $8500 / ($4000 * 7.25%)

Calculate the value of x:

x ≈ 3.49

Therefore, it will take approximately 3.49 years for the balance of the account to reach $8500.