Clint earned $1155 in interest in a simple account over the last 5 years the account pays 1.25% interest how much did clint originally deposit in his account

Question

Mathematics

Clark Rhodes

2 December, 13:27

Clint earned $1155 in interest in a simple account over the last 5 years the account pays 1.25% interest how much did clint originally deposit in his account

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Answers (1)

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Solomon Hanson · Answer 1

Answer: his original deposit was $18480

Step-by-step explanation:

The formula for determining simple interest is expressed as

I = PRT/100

Where

I represents interest paid on the investment.

P represents the principal or amount invested.

R represents interest rate

T represents the duration of the investment in years.

From the information provided,

R = 1.25

T = 5 years

I = 1155

Therefore,

1155 = (P * 1.25 * 5) / 100

1155 = 0.0625P

P = 1155/0.0625

P = 18480