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Vanessa deposited money into a bank account that earned 1.25% simple interest each year. After 1/2 year, she had earned $5.00 in interest on the account. If no other money was deposited into or withdrawn from the account, how much was her initial deposit

Verified Answer :

eaglefeather148

In order to figure this out we first have to divide the interest by 2 since it was only half a year.

0.0125 ÷ 2 = 0.00625

We now divide the interest number 5 by 0.00625 to find the initial amount.

5 ÷ 0.00625 = 800

To check this answer, multiply 800 by 0.00625.

800 × 0.00625 = 5

Answer:the answer is actually $800

Step-by-step explanation:

Took the test and got it right :-)

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