Question

Della deposits $600 into her savings account. How long will it take her to earn $84 in simple interest at a 7% annual interest rate?

Answer 1

2 years

Explanation:

First, converting R percent to r a decimal

r = R/100 = 7%/100 = 0.07 per year,

then, solving our equation

t = 84 / ( 600 × 0.07 ) = 2

t = 2 years

The time required to

accumulate simple interest of $ 84.00

from a principal of $ 600.00

at an interest rate of 7% per year

is 2 years.