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To the nearest day, how long would it take for a $45,000 investment to earn $6,000 interest at 17.5%?  115 days You Answered  77 days   95 days   377 days Correct Answer  278 days

Question

To the nearest day, how long would it take for a 45,000investmenttoearn45,000 investment to earn 6,000 interest at 17.5%?  115 days You Answered  77 days   95 days   377 days Correct Answer  278 days

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Solution

First, we need to understand that the interest earned is calculated using the formula:

Interest = Principal * Rate * Time

Where:

  • Principal is the initial amount of money invested or loaned, which is $45,000 in this case.
  • Rate is the annual interest rate, which is 17.5% or 0.175 in this case.
  • Time is the length of time the money is invested or loaned, in years.

We are asked to find the time it would take for the investment to earn $6,000 interest. So, we can rearrange the formula to solve for Time:

Time = Interest / (Principal * Rate)

Substituting the given values into the formula:

Time = 6,000/(6,000 / (45,000 * 0.175)

Solving the above equation will give us the time in years. To convert this to days, we multiply by 365 (since there are 365 days in a year).

Finally, we round to the nearest day to get our answer.

This problem has been solved

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