how long would $100,000 take to double at a simple interest rate of 8%?​ - brainly.com (2024)

It will take 12.5 years to double the amount of $100,000 with a rate of 8%.

What is simple interest?

Simple interest is a way to figure out how much interest will be charged on a sum of money at a specific rate and for a specific duration of time.

Unlike compound interest, which adds the interest from the principal of prior years to determine the interest of the following year, the principal amount in simple interest remains constant.

Given,

Principle amount = $100,000

Rate of interest (R) = 8%

Let's say it takes T years then,

Principle amount + Interest = 2 × Principle amount

P + PRT/100 = 2 × P

100000 + 100000×8×T/100 = 200000

8000T = 100000

T = 12.5 years.

Hence "It will take 12.5 years to double the amount of $100,000 with a rate of 8%".

For more about simple interests,

brainly.com/question/25845758

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