Question

How long does it take an account with a principal of $10,000 to earn $750 in interest if the rate is 15%?_ years

Answer 1

The answer should be 1,1125,000 because 10,000x 15 x7.5= 1,1125,000.

Answer 2

The simple interest accumulated

on a principal of $ 10,000.00

at a rate of 3.875% per year

for 5 years is $ 1,937.50.

Explanation:

I = $ 1,937.50

Equation:

I = Prt

Calculation:

First, converting R percent to r a decimal

r = R/100 = 3.875%/100 = 0.03875 per year,

then, solving our equation

I = 10000 × 0.03875 × 5 = 1937.5

I = $ 1,937.50