Jerome deposited $8,000 into a new retirement account with a simple interest rate of 2.8%. if account has earned $3,808 in interest, and there have been no deposits or withdraws, how many years ago did he open the account?

Jerome opened the account 17 years ago

Solution:

Jerome deposited $8,000 into a new retirement account with a simple interest rate of 2.8%

Therefore,

Principal = $ 8000

Rate of interest = 2.8 %

The account has earned $3,808 in interest

Simple interest earned = $ 3808

The formula for simple interest is given as:

Where,

"p" is the principal and "n" is the number of years and "r" is the rate of interest

Substituting the known values,

Thus he opened the account 17 years ago

73.0769230769% of the games were won