Given
Raj won $900000 in a regional lottery
After paying $350000 in taxes
he invested the remaining money in a saving account at 4.25% simple interest.
Find out the how much money is in the account if Raj makes no deposits or withdrawals for two years.
To proof
As given
Raj won in a regional lottery = $ 900000
paying in taxes = $ 350000
remaining money invested in the bank = $ 900000- $ 350000
= $550000
simple interest =4.25%
time = 2 year
Formula
[tex]simple\ interest = \frac{principle\times rate\times time}{100}[/tex]
put all the value in the above formula
we get
[tex]simple\ interest =\frac{550000\times 4.25\times 2}{100}[/tex]
simple interest = $ 46750
total money in account after two years = $550000 +$ 46750
= $596750
Hence proved
