Question

Brandon Ramirez wants to set up a scholarship at his alma mater. He is willing to invest $320,000 in an account earning 11 percent. What will be the annual scholarship that can be given from this investment

Answer 1

$35,200

Step-by-step explanation:

Given that

Invested amount = $320,000

Rate of interest = 11%

So by considering the above information, the amount of annual scholarship that can be given from this investment is

= Invested amount × Rate of interest

= $110,000 × 11%

= $35,200

By multiplying the invested amount with the rate of interest we can find out the annual scholarship amount