Answered

At Westonci.ca, we make it easy for you to get the answers you need from a community of knowledgeable individuals. Experience the ease of finding precise answers to your questions from a knowledgeable community of experts. Connect with a community of professionals ready to help you find accurate solutions to your questions quickly and efficiently.

How much money must you deposit in a simple interest account to earn $500 in interest in 5 years at 4% annual interest?​

Sagot :

[tex]~~~~~~ \textit{Simple Interest Earned} \\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\dotfill & \$500\\ P=\textit{original amount deposited}\\ r=rate\to 4\%\to \frac{4}{100}\dotfill &0.04\\ t=years\dotfill &5 \end{cases} \\\\\\ 500=P(0.04)(5)\implies \cfrac{500}{(0.04)(5)}=P\implies 2500=P[/tex]

Thanks for using our service. We aim to provide the most accurate answers for all your queries. Visit us again for more insights. We hope this was helpful. Please come back whenever you need more information or answers to your queries. We're glad you visited Westonci.ca. Return anytime for updated answers from our knowledgeable team.