SOLUTION: Madison invested in a certificate of deposit for 4 years at a 6% interest rate. At the end of the 4 years , the value of the certificate of deposit was $ 3,100. How much did Madiso
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-> SOLUTION: Madison invested in a certificate of deposit for 4 years at a 6% interest rate. At the end of the 4 years , the value of the certificate of deposit was $ 3,100. How much did Madiso
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Question 1149453: Madison invested in a certificate of deposit for 4 years at a 6% interest rate. At the end of the 4 years , the value of the certificate of deposit was $ 3,100. How much did Madison deposit originally? Answer by Boreal(15235) (Show Source):
You can put this solution on YOUR website! Assume simple interest
i=prt
4 years at a 6% interest rate is 0.24x interest, where x is the principal.
therefore, starting principal x +0.24x interest =3100
this is 1.24 x=$3100
x=$2500 starting principal
