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nikdorinn [45]
3 years ago
13

You deposit $650 in a savings account. How long does it take an account with an annual interest rate of 5% to earn $178.25 in in

terest? Round your answer to the nearest tenth.
Mathematics
1 answer:
laiz [17]3 years ago
3 0

Answer:

It takes an account 5.4 years  to earn $178.25 in interest with an annual interest rate of 5%.

Step-by-step explanation:

You can use the following formula to calculate the time it takes an account to earn a certain amount in interest:

t=(1/r)*((F/P)-1), where:

t= time

r= rate of interest= 5%

F= future value= 650+178.25=828.25

P= present value= 650

Now, you can replace the values on the formula:

t=(1/0.05)*((828.25/650)-1)

t=20*0.27

t=5.4

According to this, the answer is that it takes an account 5.4 years  to earn $178.25 in interest with an annual interest rate of 5%.

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