Question

You deposited 1700 dollars in a savings account that earns a simple interest rate of 3% per year. how many years do you need to keep the money in the account to earn $306 in interest

Answer 1

Interest = principle * rate * time
I = PRT
I = 306
P = 1700
R = 3%....we need it in decimal form = 0.03

now se sub and find T
306 = (1700)(0.03)(T)
306 = 51T
306/51 = T
6 = T....so it would take 6 years