Answer: 4 years after the original investment, it is approximately $1,093.
Step-by-step explanation:
Hi, to answer this question we have to apply the simple interest formula:
I = p x r x t
Where:
I = interest
P = Principal Amount
r = Interest Rate (decimal form)
t= years
Replacing with the values given
I = 1000x (2.25/100) x t
- It will triple in approximately 3 years. FALSE
I = 1000x (2.25/100) x 3 =67.5
1000+67.5 = 1067.5
- It will no longer grow after several years: False, it will grow because it has a growth rate.
- 4 years after the original investment, it is approximately $1,093. TRUE
I = 1000x (2.25/100) x 4 =90
1000+90 = $1090
- It will double in approximately 10 years.
I = 1000x (2.25/100) x 10 =225
1000+90 = $1225
Feel free to ask for more if needed or if you did not understand something.
