Question

Match the information about interest earned with the principal amount invested. Remember the equation for calculating simple interest is I equals p times r times t.
Q)forty−two dollars over 2 years at an interest rate of three percent
A) p equals five hundred dollars
B) p equals seven hundred dollars
C) p equals four hundred dollars
D) p equals six hundred dollars

Answer 1

I = PRT

Where I = 42 Dollar, R = 3% = 0.03 and T = 2 year

42 = P * 0.03 * 2

42 = 0.06P

42/0.06 = P

P = 700$