Question

Sonya currently has an account balance of $1,533.43. Her initial deposit on the account was $962 and i earned 3.3% simple interest. How long has Sonya held the account?

Answer 1

Current account balance of Sonya = $1,533.43.

Initial deposited amount = $962.

Interest earned = Current Balance -Initial deposite = 1,533.43-962= $571.43.

Given interest rate = 3.3% per year.

3.3% could be convert in decimal form as 3.3/100= 0.033.

Let us assume number of years Sonya had account=t years.

Simple interest formula is given by

I=P*R*T, where P is the initial deposited amount, R is the rate of interest, T is the time in years and I is the inetrest earned.

Plugging value of I, P and R in the above formula, we get

571.43 = 962 * 0.033 * t

571.43 = 31.746t

Dividing both sides by 31.746, we get

571.43/31.746 = 31.746t/31.746

t=18 years.

Therefore, Sonya held the account for 18 years.