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2 February, 16:01

Hector puts a principal of $5,600 in a savings account with a simple interest rate of 8%. After several years, he withdraws the balance of $11,424. How many years did he leave his investment in this particular savings account?

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  1. 2 February, 16:22
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    The account balance resulting from a principal of P and an interest rate of r over t years is

    A = P (1 + rt)

    Substitute the given values and solve for t.

    11424 = 5600 (1 +.08t)

    (11424/5600) - 1 =.08t

    1.04/.08 = t = 13

    Hector left his investment for 13 years.
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