Question

Question 42 ptsBreanne plans to invest her money into a simple interest savings account. Currently she has $14,623to invest and the current market rate is 3.9% for annual interest yield. How long (in years) willBreanne need to leave the money in the account for it to earn $5,100 in interest?Round answer to the nearest hundredth (2 decimal places) of a year.

Answer 1

First, we will calculate what percentage is equivalent to 3.9% of the initial amount:

`14623\text{ x 0.039 = \$ 570.297}`

then we can conclude that the years that Breanne needs to leave the money in the account for it to earn $5100 in interest is:

`\text{ }interest\text{ gained: }5100(\frac{1\text{ year}}{570,297})\text{ = 8.94 years }\approx\text{ 9 years.}`

then, the years that Breanne needs to leave the money in the account for it to earn $5100 in interest is 9 years.