Faythworks3685 Faythworks3685
  • 15-12-2020
  • Mathematics
contestada

After 12 years, a deposit of $10,000 into your college account has earned $6,000 in interest payments. What simple interest rate did the account earn

Respuesta :

oscar236
oscar236 oscar236
  • 15-12-2020

Answer:

5%

Step-by-step explanation:

I = PRT/100  where I = interest, P = initial deposit, R = the rate in %, T = number of years.

So substituting the given values:

6000 = 10000*R* 12/100

10000*12*R =  100*6000

R =  100*6000 / (10000 * 12)

R = 600000/120000

= 5%

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