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QUICK, I NEED HELP!!

Calculate the simple interest to the nearest cent.

$5,500 at 8% for 634 years.

$___

User Veote
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1 Answer

22 votes
22 votes

Answer: $278,960 interest

Explanation:

Alright so here is a method you can use to solve this it's called I P R T

I = Interest

P= original amount

R= percent as decimal

T= time in years

Question: 5,500 at 8% for 634 years

I = X (we don't know yet)

P = 5,500

R = 8% = 0.08

T = 634 yrs

1. Set the question up: 5,500 is your original amount of money, so it goes on P.

2. in order to set it up you need to convert 8% to a decimal by moving the decimal 2 places to the left 0.08 Note: 8% is a whole number. this means 0.08 is your percent as a decimal, so it's R.

3. 634 years should go be in time in years Note: (only use this if you have months) if you ever come out with 18 months you have to divide
(18)/(12) because they're 12 months in one year. then your answer will be 1.5 years/ 1 year and a half.

Note: don't worry about interest because there should always be a blank letter that's why we're solving it.

4. To find your interest simply use this method to solve.

Problem:


5,500(0.08)( 634)
= $278,960 Interest

1. Solve: original amount x percent as decimal x years / 5,500(0.08)(634)

2. Answer: after you've multiplied you should've got $278,960 Interest.

I hope this helped ;) have a nice day here is a guide ;)

User Warbo
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