Answer:
approximately 21 years
Step-by-step explanation:
-From the problem, we are given the equation I = Prt
-We're also given three numbers
-From that, we can determine which number should be plugged into the equation:
- P = $1234 (this is the principle amount/original amount)
- r = 0.09 (this is the rate of simple interest)
- I = $2308 (this is the ending amount)
-The only value we are not given is t as we need to solve for this value
-Now plug all these values into the equation:
- I=Prt
- $2308 = ($1234)(0.09)t
- $2308 = 111.06t
- Divide both sides by 111.06
- t = 20.7816
It takes approximately 21 years for the investment amount to be worth $2308.
