Answer:
<h2> 21years</h2>
Step-by-step explanation:
Amount invested by Nelson = $1,000,000
Interest rate per month = 4.8%
Simple Interest = Principal * Rate * Time/100
simple Interest = $1,000,000 * 4.8 *(1/12)/100
simple Interest = $1,000,000 * 4.8/1200
simple interest = $4,000/ month
Simple interest for one year = $4,000*12 = $48,000
In order to determine the number of years it will take Nelson to earn back his initial investment, we will divide its initial investment by the interest earned on the investment yearly as shown;
amount of years = $1,000,000/ $48,000
Amount of years = 20.8years ≈ 21years
