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patriot [66]
3 years ago
10

Berto invested in a precious mineral. The value of the mineral tend to increase by about 11% per year. He invest $40,000 in 2015

How much more will he invested be worth in 2020
Mathematics
1 answer:
stealth61 [152]3 years ago
5 0

the difference from 40000 to the future value in 2020, namely 5 years later is simply the yield or interest amount.


\bf ~~~~~~ \textit{Simple Interest Earned} \\\\ I = Prt\qquad \begin{cases} I=\textit{interest earned}\\ P=\textit{original amount deposited}\dotfill & \$40000\\ r=rate\to 11\%\to \frac{11}{100}\dotfill &0.11\\ t=years\dotfill &5 \end{cases} \\\\\\ I=(40000)(0.11)(5)\implies I=22000

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