The equation I=Prt gives the amount of interest a bank account receives after a certain period. An individual invests $6,000 into an account that receives 7% interest. How much time has passed if the amount of interest is $3,360?
3360 = 6,000 * 0.07 * t
so
t = 3360 / 420 = 8 years
pathetic, need compound interest account
To find the amount of time that has passed, we can rearrange the formula I=Prt to solve for t:
t = I / (Pr)
Given:
P = $6,000
r = 7% = 0.07
I = $3,360
Plugging in the values, we get:
t = 3360 / (6000 * 0.07)
Simplifying the expression further:
t = 3360 / 420
Now, divide 3360 by 420 to get the time passed:
t = 8
Therefore, the amount of time that has passed is 8 years.
To find the amount of time that has passed, we need to rearrange the formula and solve for t (time).
The formula is: I = Prt
Where:
I = Interest earned
P = Principal amount (initial investment)
r = Interest rate (in decimal form, not percentage)
t = Time (in years)
In this case, we are given:
I = $3,360 (interest earned)
P = $6,000 (principal amount)
r = 7% (interest rate)
First, let's convert the interest rate to decimal form:
r = 7% ÷ 100 = 0.07
Now, we can substitute the given values into the formula:
$3,360 = $6,000 * 0.07 * t
Next, we can simplify the equation:
$3,360 = $420t
To solve for t, we divide both sides of the equation by $420:
t = $3,360 ÷ $420
Calculating the division:
t = 8
Therefore, 8 years have passed for the interest to accumulate to $3,360.