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koban [17]
3 years ago
5

1. Sarah's current account balance is $2,600. She made a single lump sum amount of

Mathematics
1 answer:
ziro4ka [17]3 years ago
7 0

Answer:

The simple interest that said investment yielded was 3.75% per year.

Step-by-step explanation:

Given that Sarah's current account balance is $ 2,600, and she made a single lump sum amount of $ 2,000 eight years ago into the account, to calculate the equivalent simple interest rate (quoted annually) that she earned the following calculation must be performed:

(2,600 - 2,000) / 8 = X

600/8 = X

75 = X

2,000 = 100

75 = X

75 x 100 / 2,000 = X

7,500 / 2,000 = X

3.75 = X

Thus, the simple interest that said investment yielded was 3.75% per year.

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