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Simple Interest Days

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Simple Interest Days


1. **State the problem:** We need to find the number of days it takes for $1009.00 to earn $35.95 interest at an annual simple interest rate of 4.25%. 2. **Recall the simple interest formula:** $$I = P \times r \times t$$ where $I$ is the interest earned, $P$ is the principal, $r$ is the annual interest rate (in decimal), and $t$ is the time in years. 3. **Identify the known values:** - $I = 35.95$ - $P = 1009.00$ - $r = 4.25\% = 0.0425$ - $t = ?$ (in years) 4. **Solve for $t$:** $$t = \frac{I}{P \times r} = \frac{35.95}{1009.00 \times 0.0425}$$ Calculate the denominator: $$1009.00 \times 0.0425 = 42.8825$$ Then, $$t = \frac{35.95}{42.8825} = 0.838253$$ (rounded to six decimal places) 5. **Convert $t$ from years to days:** Assuming 1 year = 365 days, $$\text{days} = 0.838253 \times 365 = 305.311645$$ 6. **Round up to the nearest day:** $$\boxed{306 \text{ days}}$$ **Final answer:** The number of days required is 306 days.