document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1002717>Question 1002717</A>: <I><SPAN STYLE=\"word-break: break-all;\"> 2.)How long will it take to earn $500 simple interest, investing $8,500 at 4.25% APR? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #619593 by </B><A HREF=/tutors/aboutme.mpl?userid=fcabanski><B>fcabanski(1391)</B></A><img src=\"/images/stars/stars-12.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=fcabanski><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=619593\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> There's a simple formula for simple interest:  I = prt.\r<BR>\n" );
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document.write( "I is the interest earned.  In this case it's $500.<BR>\n" );
document.write( "p is the principal, the amount at the beginning, the amount saved.  In this case its $8500.<BR>\n" );
document.write( "r is the interest rate.  This is generally the %/100.  In this case it's 4.25 / 100 =.0425.\r<BR>\n" );
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document.write( "t is the amount of time.  It's expressed in the same time frame as the interest.  In this case, the interest is yearly (APR), so t will be in years.  t is the unknown or what we want to find.\r<BR>\n" );
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document.write( "Plug in the numbers:\r<BR>\n" );
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document.write( "$500 = $8500*.0425 * t<BR>\n" );
document.write( "$500 = 361.25*t\r<BR>\n" );
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document.write( "500/361.25 = t = 1.384 years.  That's a little more than 1 year and 4 months. </SPAN>\n" );
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