Mike's grandmother opened a savings account in Mike's name and deposited some money into the account. The account pays an annual simple interest rate of 9%. After 11 years, the interest earned on the account was $3,960. How much money did Mike's grandmother deposit in the account?

A. $4,000

B. $5,000

C. $3,000

D. $4,500

Question

Mike's grandmother opened a savings account in Mike's name and deposited some money into the account. The account pays an annual simple interest rate of 9%. After 11 years, the interest earned on the account was $3,960. How much money did Mike's grandmother deposit in the account?  


  A.   $4,000  


  B.   $5,000  


  C.   $3,000  


  D.   $4,500

anonymous · Answer

If the interest is simple, it is the same amount each year...so if a total of $3960 was gained over 11 years, then each year 3960/11 = $360 was added in interest

So the question that needs to be answered is 9% of what number is 360?

Or...$$.09x=360$$ solve for x