Question

4. Stacey currently has an account balance of $1,007.78. Her Initial deposit on the account was $616 and it earned 5.3% simple interest. How long has Stacey held the account? (2 points)
7 years
31 years
12 years
19 years

Answer 1

Answer:

12 Years

Step-by-step explanation:

Simple interest is calculated as I = Prt, where P is the principal (amount of money invested), r = rate of interest written as decimal, and t = time

The amount started as P and incresed by Prt, so

P + Prt = 1007.78

616 + (616)(0.053)t = 1007.78

Now you need to solve for t:

Subtract 616 from both sides and simplify:

32.648t = 391.78

Divide both sides by 32.648:

t = 12

Answer: 12 years