document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1059216>Question 1059216</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Graduation is 3 years away and you want to have $850 available for a trip. If your bank is offering a 3-year CD (certificate of deposit) paying 2.8% simple interest, how much do you need to put in this CD to have the money for your trip? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #674303 by </B><A HREF=/tutors/aboutme.mpl?userid=jorel555><B>jorel555(1290)</B></A><img src=\"/images/stars/stars-12.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=jorel555><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=674303\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> The bank offers 2.8% simple interest for 3 years. This amounts to 3 x .028, which equals 8.4% over the years. Let your initial deposit be n. Then:<BR>\n" );
document.write( "n(1+.084)=850<BR>\n" );
document.write( "1.084n=850<BR>\n" );
document.write( "n=$784.13 needs to be your initial deposit. &#9786;&#9786;&#9786;&#9786;\r<BR>\n" );
document.write( "\n" );
document.write( "Simple interest does NOT compound over time; so the bank only pays 2.8% interest per year on the initial deposit. Since the CD is for a 3 year period, the total interest earned is 3 x 2.8%, which is 8.4%. Let n be your initial deposit. Then:<BR>\n" );
document.write( "n(100%+8.4%)=850<BR>\n" );
document.write( "1.084n=850<BR>\n" );
document.write( "n=$784.13 ad your initial deposit. Again. &#9786;&#9786;&#9786;&#9786; </SPAN>\n" );
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