reycam2008
Answered

At Westonci.ca, we make it easy for you to get the answers you need from a community of knowledgeable individuals. Explore our Q&A platform to find reliable answers from a wide range of experts in different fields. Join our Q&A platform to connect with experts dedicated to providing accurate answers to your questions in various fields.

Aviva deposited some amount of money at a 4% annual interest rate into her bank account. The money was left in the account for 18 months, and she did not make any more deposits.

If Aviva's money earned $240 interest after 18 months, how much money did she deposit into the account?

Sagot :

Lanuel

The amount of money that was deposited by Aviva into her bank account is $4,000.

Given the following data:

  • Interest rate = 4% = 0.04.
  • Simple interest = $240.
  • Time = 18 months.

Conversion:

12 months = 1 year.

18 months = 1.5 year.

To determine the amount of money that was deposited by Aviva into her bank account:

How to calculate simple interest.

Mathematically, simple interest is given by this formula:

[tex]I=PRT[/tex]

Where:

  • S.I is the simple interest.
  • P is the principal or starting amount.
  • R is the interest rate.
  • T is the time measured in years.

Substituting the given parameters into the formula, we have;

[tex]240=P \times 0.04 \times 1.5\\\\240=0.06P\\\\P=\frac{240}{0.06}[/tex]

P = $4,000.

Read more on simple interest here: brainly.com/question/24341207

Thank you for choosing our service. We're dedicated to providing the best answers for all your questions. Visit us again. Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. We're here to help at Westonci.ca. Keep visiting for the best answers to your questions.