If interest on a savings account is paid at an annual rate : Quant Question Archive [LOCKED]
Check GMAT Club Decision Tracker for the Latest School Decision Releases http://gmatclub.com/AppTrack

 It is currently 16 Jan 2017, 03:51

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

If interest on a savings account is paid at an annual rate

Author Message
Manager
Joined: 22 Jul 2003
Posts: 62
Location: CA
Followers: 1

Kudos [?]: 0 [0], given: 0

If interest on a savings account is paid at an annual rate [#permalink]

Show Tags

04 Aug 2003, 13:07
This topic is locked. If you want to discuss this question please re-post it in the respective forum.

If interest on a savings account is paid at an annual rate of 6.25% and if interest is not reinvested, then how many years will the total amount of interest earned equal the amount of money saved in the account?

(1) 36
(2) 24
(3) 18
(4) 16
(5) 12

I am quoting the problem as it is from a book. I have made no changes to the language of the problem.
[/b]
Intern
Joined: 18 Jul 2003
Posts: 10
Location: Mumbai
Followers: 0

Kudos [?]: 0 [0], given: 0

Show Tags

04 Aug 2003, 21:53
16 years.

Int. = P * N * R/100

in this case if principal is 100,

100 = 100 * N * 6.25/100

solving gives,

N = 16 years
04 Aug 2003, 21:53
Display posts from previous: Sort by