you deposit $200 in an account earning 3.5% simple interest. How long will it take for the balance of the account to be $221?
is 1 year the answer?
Thank you
You're welcome, Misty.
I = PRT
21 = 200 * 0.035 * T
21 = 7T
3 years = T
To determine how long it will take for the balance of the account to be $221, we can use the formula for simple interest:
I = P * r * t
Where:
I is the interest earned
P is the principal amount (initial deposit)
r is the interest rate
t is the time (in years)
In this case, the initial deposit (P) is $200, the interest rate (r) is 3.5% or 0.035, and we want to find the time (t) it takes for the balance to reach $221.
We can rearrange the formula to solve for t:
t = I / (P * r)
Substituting the given values:
t = (221 - 200) / (200 * 0.035)
Simplifying:
t = 21 / 7
t = 3
Therefore, it will take 3 years for the balance of the account to reach $221.