posted by Spencer on .
how long will it take to earn $787.50 on $5000 at 5 1/4%(percent)
what is the rate it is compounded? annually, semi-annually, monthly, what?
dat information is not given
aren't you supposed to be using the interest rate formula? if so, then u have two variables missing, the n and t, and it's impossible to solve that problem without the n
The formula giben to me was the following:
interest = principal x rate x time(in years)
please excuse the typing errors
So plug in 787.50 for interest, 5000 for principal, 0.525 for rate, and solve for t (in years.) That assumes the 5 1/4% is an annual percentage rate, it doesn't compound, and the rate stays the same.
That's 0.0525 for interest. Sorry about the typo.