Question

Suppose you have $1750 in your savings account at the end of a certain period of time. You invested $1500 at a 3.72% simple annual interest rate. How long, in years, was your money invested?

Answer 1

Answer:

4.48 years

Step-by-step explanation:

The formula for simple interest is

A = P(1+r*t), with A being the final amount, P being the initial amount, r being the interest rate, and t being the time. Plugging our values in, we get

1750 = 1500(1+0.0372 * t)

Note that 3.72 was translated into 0.0372 as changing percents to decimals requires dividing by 100

Expanding our equation, we get

1750 = 1500 + 55.8 * t

subtract 1500 from both sides to isolate the t and its coefficient

250 = 55.8 * t

divide both sides by 55.8 to get t

t = 4.48