Question

Edwin deposited money into a savings account that pays a simple annual interest rate of 1.4%. He

Answer 1

The deposited sum of money by Edwin is $350.

Step-by-step explanation:

Let us assume that the amount deposited  = P

The rate of interest  = 1.4%

The Simple Interest earned  = $24.50

Time  = T = 5 years

Now, as we know:

SIMPLE INTEREST  = $\frac{P \times R \times T}{100}$

$\implies 24.50 = \frac{P \times 1.4 \times 5}{100} \\\implies P = \frac{24.50 \times 100}{1.4 \times 5} = 350\\\implies P = 350$

Hence, the deposited sum of money by Edwin is $350.