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5 August, 17:04

Dana wants to invest 3,000 at 5% simple interest. How many years will it take for the total amount in her account to reach $4,500?

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  1. 5 August, 17:20
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    The total amount in Dana's account will consist of her $3,000 investment plus $1,500 in interest earned. The formula for simple interest is

    I = Prt

    Substituting given values, we have

    1500 = 3000*0.05*t = 150t

    1500/150 = t = 10

    It will take 10 years for the total amount in Dana's account to reach $4,500.
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