An annual interest of $786.00 is received on a savings deposit of $52,400.00. At the same rate, how much annual interest is received on a deposit of $112,000.00?

Answer 1

Using the formula for simple interest, I = P*r*t, where I is the interest, P is the principal (deposit), r is the interest rate, and t is the time in years.

We are given that the annual interest on a deposit of $52,400.00 is $786.00.
Thus, we have 786 = 52,400*r*t.

Solving for r*t, we have r*t = 786/52,400.
Thus, r*t = 0.015.

Now, we need to find the annual interest on a deposit of $112,000.00.
Using the same rate (r*t = 0.015), we have the annual interest as 112,000*0.015 = $<<112000*0.015=1680.00>>1680.00. Answer: \boxed{1680}.